ArcGIS 9

Using ArcGIS Business Analyst

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CONTRIBUTING WRITERS
Kyle Watson, April Anders, Mark Berry, Paul Tsushima, and Dennis Kaplan

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attribution.pmd 1 3/16/2007, 2:24 PM

 1 About ArcGIS Business Analyst 1
Contents Introduction to ArcGIS Business Analyst features 2
How Business Analyst helps you make better business decisions 4
Overview of the Business Analyst menu 6
A short introduction to ArcGIS 9
ArcGIS versus ArcView GIS 3.x terminology 13
Simple versus detailed map documents 14
Getting additional help for Business Analyst 15

2 Tutorial 17
Exercise 1: Selecting a geographic area and performing site prospecting 18
Exercise 2: Locating your stores 24
Exercise 3: Locating your customers 28
Exercise 4: Determining trade areas around your stores 32
Exercise 5: Removing trade area overlap 38
Exercise 6: Determining market penetration 40
Exercise 7: Identifying your competitors 43

3 Business Analyst toolbar 45

Using the Business Analyst toolbar 46
Site prospecting on the map using the Site Prospecting tool 47
Site prospecting using the Site Prospecting tool context menu 50
Site prospecting using the ArcMap Find tool 51
Dynamic Ring Analysis tool 52
Using the Business Analyst Assistant 54
Identify Business tool 55
Using the Project Explorer 56

4 Organizing your work and creating a study area 57

Managing Projects using the Project Explorer window 61
Creating a My Output Data folder on a different drive 62
Virtual versus defined study areas 63

iii

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 12
Using ZIP Codes 64
Creating a study area from a map 67
Choosing a study area from a list 69
Using the entire United States 71
Clipping all your data so it only includes the study area 73
Using a currently selected shape on the map 74
Selecting subgeographies inside an existing study area 78
Using a simple ring 81
Using the current map extent 84
Managing existing study areas 85
Renaming or modifying a study area 86
Deleting a study area 87

5 Adding data to Business Analyst 89

Adding data to your map 90
Adding customers from tabular data to your study area 91
Adding stores from tabular data to your study area 96
Adding customers or stores from map-ready data 100
Creating an empty customer or store layer 104
Entering customer or store addresses manually 107
Adding customer or store data containing x,y coordinates 109
Analysis layer setup 112
Field descriptions 113
Adding business listings 116
Importing a Business Analyst add-on datapack 118
Setting field visibility 119
Managing existing customer or store layers 120
Substituting your own terms for customers and stores 121

6 Trade areas—customer data required 123

Customer-derived areas 124
Market penetration 129

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 Trade area penetration 133
Distance decay areas 138

7 Trade areas—no customer data required 143

Simple rings 144
Nonoverlapping rings 147
Data-driven rings 150
Drive-time polygons 153
Threshold rings 157
Equal competition (Thiessen) 160
Huff equal probability trade areas 163
Grid areas 166
Standard levels of geography 170
Subgeography 172

8 Monitor and manage trade areas 175

Measure cannibalization 176
Track trade area change 178
Manage existing trade areas 181

9 Analysis 183
Customer prospecting and profiling 184
Using customer prospecting 185
Desire lines 190
Using desire lines 191
Find similar 194
Mean store center 197
Using mean store center 199
Spatial overlay 201
Using spatial overlay 203
Managing existing analyses 206

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 10 Modeling 207
How the original Huff model (in Business Analyst) works 208
Original Huff model 210
Advanced Huff model with statistical calibration 215
Huff model calibration 220
Using dissolve by attribute 225
Managing existing modeling analyses 228
Managing model calibration parameters 229

11 Working with maps 231

Displaying points as charts 232
Classification methods 235
Displaying points as different colors 236
Displaying points as different sizes 239
Displaying lines as different colors 242
Displaying lines as different thicknesses 245
Displaying charts in areas 248
Displaying areas as different colors 252
Setting dot density in areas 254

12 Tools 257
Remove trade area overlap 258
Create grids 261
Dissolve by attribute 264
Spatial overlay 267
Find similar 270
Market Ranking report 273
Site prospecting 276
Store prospecting 301
Using a store layer 303
Entering store addresses 306
Using a table of store addresses 309

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 13 Finding a route 313
The Find Route Wizard 314
Pointing and clicking on your map to assign stops 316
Using a point layer or table of your stops 317
Using addresses or ZIP Codes of your stops 319
Using a point graphic or feature to assign stops 321

14 Reports and batch tasks 323

Running reports for single areas 324
Running reports for multiple areas 327
Running a Locator report 329
Running a Market Ranking report 332
Running a Wind Rose report 335
Running a Geographic Customer Summary report 338
Running an Average Drive Time report 340
Running a Summarize Points report 342
Running a map layout report 344
Managing existing reports 345
Creating custom report templates using the Advanced Editor 346
Running and managing batch tasks 349

15 Setting Business Analyst preferences 351

General tab 352
Dataset tab 353
Analyses tab 354
Misc tab 355
Data tab 356
Drive Time tab 357
Segmentation tab 358

16 The ArcGIS 9.2 Business Analyst Importer 359

Importing your study areas 360

CONTENTS vii

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 Appendix 363
My Output Data folder structure 364
Report templates 365
Use of Projects in ArcGIS Business Analyst 368

Glossary 371

Index 379

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 About ArcGIS Business Analyst
IN THIS CHAPTER
• Introduction to ArcGIS Business
Analyst features
• How Business Analyst helps you
make better business decisions
• Overview of the Business Analyst
menu
• A short introduction to ArcGIS
• ArcGIS versus ArcView GIS 3.x
terminology
• Simple versus detailed map
documents
• Getting additional help for
Business Analyst
Ch01.pmd 1 3/14/2007, 1:58 PM
1
Welcome to ESRI® ArcGIS® Business Analyst. By linking information, such
as demographics and sales, with specific locations, such as ZIP Codes and
store locations, Business Analyst will enable you to make business decisions
based on trends and patterns you’ve never been able to see before. Built
around the set of tasks that are essential to most businesses, Business
Analyst will change the way you do business by providing both the tools and
data you need to perform analysis. Business Analyst works with ArcGIS
Desktop to create powerful yet easy-to-use software.
This newest release of ArcGIS Business Analyst represents a major
product upgrade from earlier versions. In addition to the familiar wizards for
analyzing data for stores, customers, and trade areas, ArcGIS Business
Analyst now integrates with ModelBuilder™, providing templates and tools
to automate the market analysis process. Among the tools and features are
new techniques for trade area creation, management, and comparison; new
Huff sales forecasting models; and an optional segmentation module with
block group-level Tapestry™ lifestyle data, Mediamark Research Inc.
(MRI) consumer survey data, and the advanced Community™ Coder. The
segmentation module also includes an automated report booklet creation
wizard to produce presentation-quality segmentation studies.
 Introduction to ArcGIS Business Analyst features
With ArcGIS Business Analyst, you can take advantage of the
following features:
• All data is available on your map at startup. It is not necessary
to extract geography and other data from CD before beginning
your analysis.
• Analysis accuracy has been improved using a method of
block point data retrieval. When an analysis cuts across a
block group, Business Analyst considers the locations of the
block points inside that block group and allocates
accordingly.
• A map document is provided on program startup. It can be
used to immediately begin your analysis.
• You can begin work on an area of the map with your
customers, stores, and various types of analysis, then create a
study area if it is needed. With or without a study area, you
will be able to save your work in an ArcGIS map document
(.mxd file).
• Map documents are organized and selectable using the
ArcCatalog™ toolbar icon. ArcCatalog presents a list of all
map documents created with thumbnail views of each, if
desired.
• Business Analyst supports input from all ArcGIS data
sources, such as shapefiles and geodatabases.
• You can create your own datasets or customize the Business
Analyst dataset to use your own data rather than using the
provided standard demographic data. This could be used, for
example, to add your local school district boundaries or
voting districts with data you have collected that is
associated with those geographies.
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• ArcGIS Business Analyst includes an extensive data update.
Base data includes updated demographic and consumer
expenditures data from ESRI, updated streets from Tele Atlas
North America (formerly GDT), updated business locations
from infoUSA, updated major shopping centers from the
Directory of Major Malls (DMM), and an updated address
point geocoder.
• Business Analyst is completely integrated into the ArcGIS 9
Desktop framework. This integration provides a new
environment for geoprocessing, modeling, and scripting
including a new dockable ArcToolbox™ window with a
comprehensive set of tools for all Business Analyst
capabilities. The integrated ModelBuilder geoprocessing tool
allows you to link geoprocessing operations together and
build models interactively.
• ArcCatalog is now used extensively to organize Business
Analyst data. Stores, customers, trade areas, and other
Business Analyst data elements are now organized in the
ArcCatalog tree. Context menus provide additional data
management options
• Business Analyst still includes the familiar ArcMap™ wizards
that lead you through step-by-step procedures for creating
and managing stores, customers, trade areas, and analysis.
Quality and performance have been improved in a number of
key areas.
• Reporting and report speed in Business Analyst have been
improved, and a number of new reports have been included.
An improved custom report wizard is also included that will
allow you to build and share custom reports.
 • A batch framework has been added, making it easier to work
with multiple sites, trade areas, and customer files. This
flexible batching capability will allow you to create trade areas,
reports, and analysis one at a time or batched together as a
group of work.
• An optional neighborhood segmentation engine can now be
added to Business Analyst. You can use this segmentation
module to target customers, examine the merchandizing mix,
and find optimal locations for new store sites using the
Community Tapestry neighborhood segmentation system.
• A number of new trade area techniques have been added to
Business Analyst. These new trade area tools will allow you
to create, manage, and compare trade areas. A new sales
forecasting model based on the Huff model has also been
included that will allow you to evaluate new site locations.
• Routing and drive-time trade areas have been improved and
are based on the new routing and service area tools from the
ArcGIS Network Analyst extension. A license to the full
Network Analyst extension is now included with Business
Analyst. Additionally, the StreetMap drive time engine has
been added to quickly produce drive-times.
• Additional data has been added to Business Analyst. The
extension now includes Core Based Statistical Area (CBSA)
and Designated Market Area (DMA) boundaries with a full
complement of demographic data for each.
• The Business Analyst dataset includes a toolbar that allows
you to download satellite images and aerial photographs. The
toolbar, based on GlobeXplorer’s premium imagery service,
provides a collection of high-quality aerial and satellite
imagery that is regularly updated and expanded. These images
ABOUT ARCGIS BUSINESS ANALYST
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can be used in reports and projects that require visual details
of properties, neighborhoods, and towns.
• A number of other tools and features have been added for
performing site location research, customer targeting, and
marketing analysis.
ArcGIS Business Analyst is an extension built for use with
ArcGIS Desktop. This means it can be used with ArcView®,
ArcEditor™, or ArcInfo®. The components included in the
Business Analyst package are:
• ArcGIS Business Analyst extension software—provides tools
for mapping, analysis, and managing work.
• Data from industry-leading vendors—provides nationwide
demographic, business listing, and shopping center data.
• Tele Atlas Dynamap®/Transportation map data—provides
basemaps and U.S. national street network.
• USA Geocoding Service—takes your customer or store
addresses and locates them on a map.
• ArcGIS Network Analyst extension—provides drive-time/
drive-distance analysis and routing capability. The full license
to this extension is included with Business Analyst.
ArcView, or either of the other alternatives of ArcGIS Desktop
you choose to use with Business Analyst, contains Crystal
Reports® from Business Objects. This is the industry-leading tool
to present your analysis results in quality reports. Business
Analyst makes using Crystal Reports easier through a series of
integrated wizards.
3
 How Business Analyst helps you make better business decisions
Geographic analysis links locations with the information
associated with them and presents the results in the form of a
map. Often, this provides such a new perspective that trends and
patterns, previously unseen, become apparent.
Suppose you want to open a women’s clothing store and are
looking at real estate options. There are several properties
available—which is the best location for your business?
Using Business Analyst, you can look for block groups with a
high percentage of women who live in households with an
average income greater than $25,000 and are credit card users.
You decide to focus your real estate search on properties near the
east end of town because it has more block groups that contain
the type of customer for which you’re looking.
Or suppose you own a chain of four grocery stores, three located
in small towns and a new location near a busy highway. The sales
from your new location are not as high as you expected, and you
want to investigate why.
After using Business Analyst to show each store’s area of
influence, you are surprised to see that the customers of your
new store live nowhere near the store—many even live near your
other stores. You conclude that many customers of the new store
are commuters who shop there because it’s located conveniently
close to the highway. By advertising on billboards along the
highway, you see a significant improvement in sales at your new
store.

Block groups with high potential for a women’s clothing store Desire lines showing each grocery store’s area of influence

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 Or suppose your chain of pizza stores is considering offering a
money-back guarantee that deliveries will arrive in 30 minutes or
less. It takes 20 minutes to prepare a pizza and between two and
six minutes to get the delivery vehicle under way, so the customer
must live within four minutes of one of your stores.
Using Business Analyst, you create two-, three-, and four-minute
drive-time rings around each of your stores. By looking at which
ZIP Codes fall inside the drive-time rings, you can determine the
delivery service area.

Drive-time rings showing two-, three-, and four-minute rings around each pizza restaurant

ABOUT ARCGIS BUSINESS ANALYST 5

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 Overview of the Business Analyst menu
Business Analyst takes the power of one of the most popular
desktop geographic information system (GIS) software products,
ArcGIS, and makes it even easier to use. The way to accomplish
every task can be found in one place—the Business Analyst
menu.
Each task is performed with the help of a wizard. The layout of the
Business Analyst Main menu is shown below.
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Previous Business Analyst users will see that there is a
consolidation of groupings in the menu. This was done because
the functionality in the product has greatly increased and it was
necessary to better organize the menu to make the functions easy
to find. A cross-reference is included in this section to help
previous Business Analyst users locate commands on the new
menu that are not immediately visible.
Some wizards assist you with basic tasks, such as creating a
study area or adding your customers and stores. Other wizards
guide you through related tasks, such as creating a trade area,
performing analysis, creating a report, or changing the way your
map looks. You can also adjust various preferences by clicking
Preferences.
Each Business Analyst wizard consists of a series of panels that
guide you through the task you want to complete. Instead of
learning how to ask the software to do the things you want, you
can step through a wizard for the task you want to accomplish.
The next chapter will walk you through some of the functions you
can perform from the Business Analyst menu and will also show
you how to use the Site Prospecting tool, located to the right of
the Business Analyst toolbar. The following chapters cover how
to perform other tasks in Business Analyst, such as creating
study areas, performing analysis, and setting up stores and
customers.
 Business Analyst Menu Crosswalk—from • Analysis—Customer Market Analysis:
previous ArcGIS versions to this version - Simple or Complex: appears under Trade Area—Customer
Some items previously shown on the Business Analyst main Data Required—Customer Derived Areas. Choose Simple,
drop-down menu have been grouped with new functionality to Amoeba, Detailed (previously Complex), or Detailed With
simplify organization of the menu. To assist you in locating these Smoothing.
items, the list below includes each of the items on the previous - Desire Lines: appears under Analysis.
Business Analyst drop-down menu and where they appear on the
- Market Penetration: appears under Trade Area—Customer
new menu.
Data Required.
• Add Business Listings: appears under Data.
- New Store: appears under Analysis as Mean Store Center.
• Add Business Data From Internet: Click the ArcMap Add Data
• Analysis—Store Market Analysis: all functions under this
button and choose GIS Servers to access the server where
section now appear under Trade Area—No Customer Data
your data is located.
Required.
• Create Study Area: appears on the Business Analyst main
• Analysis—Store Prospecting: appears under Trade Area.
menu.
• Spatial Overlay, Find Similar, Site Prospecting, Find Route,
• Set Analysis Extent: appears on the Business Analyst main
Thematic Mapping: appear under Tools.
menu.
• Reports: appears on the Business Analyst main menu.
• Customer Setup: appears on the Business Analyst main menu.
• Preferences: appears on the Business Analyst main menu.
• Store Setup: appears on the Business Analyst main menu.
• Assign Customers to Stores:
- If you have a store assignment in your customer database,
you make this selection during customer setup.
- If a store is not assigned in your customer database, this
function appears during creation of a trade area—customer
data required—customer derived areas.
• Analysis Layer Setup: appears under Data.

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 Here are a couple of general tips that are
important to your stress-free use of Business
Analyst.
Tip 1: ArcGIS occasionally will display a red warning symbol
on the Business Analyst dialog box. This indicates that a change
in your dialog box selections must be made to continue. If you
place your mouse pointer over the red symbol, a message will
appear instructing you on what should be changed.
Tip 2: Many Business Analyst dialog boxes have drop-down
arrow menus that give you access to long lists of the field
variables contained in a selected layer. To simplify your
navigating these long lists, Business Analyst presents the
variables grouped into categories in an expandable tree structure.
You can expand or contract any tree of variables by holding the
<Ctrl> key and clicking any of the ‘+’ or ‘-’ symbols in the tree.
Doing this will expand or compress all branches of the tree.
Tip 1: Example of warning message

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 A short introduction to ArcGIS
If you’ve never used ArcGIS before, there are a few basic terms
that will help orient you to working with a GIS application.
ArcGIS has two primary components, ArcMap and ArcCatalog.
During installation, the ArcGIS Business Analyst extension is
added to ArcMap. To do your Business Analyst work, you
launch ArcMap, choose a map, and use the Business Analyst
drop-down list of wizards to guide you through your work.
ArcCatalog will show up as an icon on the ArcMap toolbar.
It can be selected at any time to locate map lists with thumbnail
maps for each of the saved map documents and map templates
(.mxt) on your computer.

Features
In a GIS, every element in a map except text is represented as a
geographic object—a point, line, or area (polygon). These
geographic objects are called features. Area features are used to
represent entities such as countries, states, counties, and so on.
Line features represent the things normally drawn as lines on a
map, mainly roads and rivers. Point features represent specific
locations. These may be cities, houses, business locations,
customers and stores, or other locations. Normally, a set of
features of the same type is stored together in a single file.
For instance, world cities are stored together in a single layer, and
U.S. lakes are stored together in another file.
When such a file is brought into ArcGIS, it’s called a layer. A
layer was known as a theme in ArcView GIS 3.x.

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 Layers and maps
A map is an interactive area that allows you to display, explore,
query, and analyze geographic data in ArcGIS. A map is made of
layers of geographic information for a particular area or place.
All layers in a map are listed in the map’s table of contents. The
table of contents lists all the data frames and layers on the map
and shows what features the symbols in each layer represent.
Each layer in a map is drawn independently. Layers draw on top
of one another according to their order in the map’s table of
contents. For example, if a layer of cities is above a layer of
Layers in a map’s
table of contents
10
Ch01.pmd 10
counties in the table of contents, the cities will appear on the map
with the counties as a background (as you would want). If the
Counties layer were above the Cities layer in the table of
contents, the counties would draw on top of the cities in the map
and obscure them. Another option available to prevent this
obscuring of cities is to make the Counties layer transparent. You
can do this by editing the layer properties to make it 50 percent
transparent. This would allow you to see through the Counties
layer to view the City points. Related layers can be grouped
under a group layer.
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 A group layer is made up of several layers that appear and act
like a single layer in the table of contents in ArcMap.
Changing the map appearance with the table of
contents
When designing the appearance of the Business Analyst map
data, every effort was made to have the viewable map layers meet
the needs of the vast majority of users. Business Analyst has the
flexibility to allow you to turn on and turn off layers by checking
or unchecking them in the table of contents. To maintain the
flexibility in Business Analyst use, there are always two or more
geographic layers turned on at any zoom level. The layer that
appears above another layer in the table of contents will be the
layer you see on the map. If you want to see the layer that
appears lower in the table of contents, simply uncheck the
geography layers on top of it. The table of contents depicts
drawing order on the map from bottom to top. Unchecking visible
geography layers that you don’t need can improve the map’s
drawing performance.
The names of some geography layers may be unavailable in the
table of contents. Even if the layer is checked on, it may appear
unavailable, meaning that you will have to zoom in to make it
visible. It is possible to control the zoom level at which every
layer becomes visible and invisible; however, this should only be
done if you are an advanced user. To do this, double-click the
layer to show the Layer Properties dialog box. Click the General
tab, and in the area titled Scale Range, you can choose to Show
the layer at all scales or to define the zoom range scale when the
layer is visible. The higher number value is zoomed farther out. A
layer is visible at the continental U.S. level at a value of
25,000,000 (1:25,000,000 scale). A layer is visible at full zoom in
when the value is set to 0. In the two text boxes, you will enter a
numeric value to not show the layer when zoomed out beyond
ABOUT ARCGIS BUSINESS ANALYST
Ch01.pmd 11
some value or when zoomed in beyond some smaller value. This
will create a viewing range for the layer. In most cases, though,
it’s best to control what layer is visible by checking or
unchecking it in the table of contents.
Attributes and the power of a GIS
The information that ArcGIS stores about features is referred to
as attribute information, or attributes. The attributes of a feature
that represent a customer, for example, might include a name, an
address, the number of visits per month, and the amount of sales
per month. The attributes of a feature that represent a shopping
mall, for example, might include the name of the mall, its type, size,
and the number of stores.
ArcGIS formats attributes in rows and columns and stores them
as tables. Each column stores a different attribute, and each row
relates to a single feature. These attributes are linked to the
features on the map. This means you can access all the
information about a feature by simply clicking it using the
Identify tool on the Tools toolbar.
The link between features and their attributes is the basic
principle behind how a GIS, such as ArcGIS, works and is the
source of its power. Once the map features and attributes are
linked, you can access the attributes for any feature on the map
or locate any feature from its attributes in a table.
Layers in the table of contents can be organized into data frames.
A data frame groups the layers that you want to display together
in a separate frame. Normally, you will do your work within a
single data frame and save the results of your work as a map
document (.mxd file). You can then manage your work using your
collection of saved .mxd files.
When a map has more than one data frame, one of them is the
active data frame. The active data frame is the one with which
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 you’re currently working. For example, when you add a new layer
to a map, it is added to the active data frame. You can always tell
which data frame is active because it is highlighted on the map
and its name is shown in bold text in the table of contents.
For more information about ArcGIS, see Using ArcMap and
Using ArcCatalog.

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 ArcGIS versus ArcView GIS 3.x terminology
The terminology presented for ArcGIS Business Analyst serves a Terminology changes
similar purpose to that used in ArcView GIS 3.x. In ArcView GIS 3.x
Business Analyst, you opened or created a view containing ArcView GIS 3.x ArcGIS
themes for each of your layers of geography, businesses,
customers, stores, and so on. A project was then used to store Theme Layer
the view, themes, and layouts that were used for a particular
View Map
application. What was a view is now a map. What was a theme is
now simply a layer. What was a project continues to be a project. Project Project
If you prefer, you can save each of your projects as a new map
document (.mxd). Alternatively, you can create new projects .apr extension .mxd extension
within the same map document. This is provided so you have a
choice in how you organize your work. More information about
using projects can be found in the appendix to this user guide.
In ArcGIS Business Analyst, you will work with a map document
that will already contain the map data that ships with the product
(geography, demographics, businesses, shopping centers, and so
on). Layers are organized in a table of contents on the left side of
your screen and show up graphically on the map.
Study areas were previously required to define an area for data
extraction in Business Analyst. Now you have the option of
simply zooming to your area of interest and beginning work or
defining a study area boundary for your analysis. If you define
one or more study areas on your map document, there is a control
in Business Analyst to move and zoom between them by
activating the study area of choice using Set Analysis Extent on
the main menu. Most users will prefer to save each of their study
areas as a separate map document. Map documents are organized
and selectable using the toolbar icon for the ArcCatalog tool. As
mentioned above, ArcCatalog presents a list of all map
documents created with thumbnail views of each, if desired.
Double-clicking the Map Document thumbnail or name will
launch it in a new session of ArcMap. This overview will help
you to understand the basic layout and organization of work as
you begin the exercises in the quick-start tutorial.

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 Simple versus detailed map documents
Business Analyst users have a variety of uses for the Business
Analyst product, some requiring simple background maps and
others requiring more map detail. Two different Business Analyst
map documents can be used to provide a starting point for your
work. Briefly, here are the differences between the two.

Business Analyst.mxd
• The simpler of the two; a basic MXD for analysis with
simpler cartography.
• State layer with demographic is turned on by default; any
other geography that is needed can be checked on.
• Interstates/Major roads are visible, detailed streets are
turned off.
• Business reference layers—shopping centers and
businesses—are available but are unchecked by default.
• Canadian cartography is turned off.

BA_detailed.mxd
• A more detailed MXD for the user interested in more detailed
cartographic map presentation.
• Detailed street network is turned on.
• Modeled on the detailed MXD found in Business Analyst 8.3c
and 9.
• Many more basemap layers have been added and turned on.
• Canadian cartography is turned on.

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 Getting additional help for Business Analyst
What to read next
A good place to begin learning about Business Analyst is
Chapter 2, ‘Tutorial’. This allows you to jump right in and start
using the software. You’ll see how Business Analyst solves a
real-life business problem. The tutorial is complete with sample
data, so you can follow along step-by-step using your computer.
Getting help using Business Analyst
ArcGIS Desktop Help
ArcGIS Desktop Help is available for Business Analyst by
pressing F1 or click the Help menu, then click Extensions, then
click Business Analyst.
Context Sensitive Help
Context sensitive help shows additional information for buttons,
tools, and menu choices. This can be accessed in Business
Analyst by clicking the question mark at the top of any wizard
then pointing to the area you are looking for more info. A help
dialog box will appear.
In ArcGIS you can also get help about a button, tool, or menu
choice by clicking the What’s This? Button, then click the button,
tool, or menu choice you want to get help about.
Geoprocessing Tools Help
Detailed help for Business Analyst including diagrams,
programming syntaxes, and usage tips is found in the
geoprocessing tools environment. To access this press F1 or click
the Help menu, then click Geoprocessing tool reference, then click
the Business Analyst toolbox.
ABOUT ARCGIS BUSINESS ANALYST
Ch01.pmd 15
Getting help online
To browse the contents of ArcGIS Help Online, click the Help
menu, click ArcGIS Desktop Help Online. On this page you can
access the help by clicking the Extensions dropdown, then click
Business Analyst, or you can click the Business Analyst link
under ArcGIS Extensions.
Visit the online ESRI Knowledge Base for access to Business
Analyst related product documentation, white papers, and
system requirements at http://support.esri.com/knowledgebase.
Visit the online ESRI User Forums to share ideas and findings
with other users at http://support.esri.com/forums.
Contacting ESRI
If you need to contact ESRI for technical support, refer to
‘Contacting Technical Support’ in the ‘Getting more help’ section
of the ArcGIS Desktop Help system or go to
http://support.esri.com.
In the United States, you can contact ESRI Technical Support
from 6:00 a.m. to 5:00 p.m. (Pacific time), Monday through Friday
by dialing 888-377-4757. Please have your customer number
ready.
You can also visit ESRI on the Web at www.esri.com/arcgis for
more information on Business Analyst and ArcGIS Desktop.
ESRI Training and Education
ESRI provides educational opportunities related to geographic
information science, GIS applications, and technology. You can
choose among instructor-led courses, Web-based courses, and
self-study workbooks to find education solutions that fit your
learning style. For more information, go to www.esri.com/
education.
15
3/14/2007, 1:58 PM
Ch01.pmd 16 3/14/2007, 1:58 PM
 Tutorial
IN THIS CHAPTER
• Exercise 1: Selecting a
geographic area and performing
site prospecting
• Exercise 2: Locating your stores
• Exercise 3: Locating your
customers
• Exercise 4: Determining trade
areas around your stores
• Exercise 5: Removing trade area
overlap
• Exercise 6: Determining market
penetration
• Exercise 7: Identifying your
competitors
Ch02.pmd 17
2
Welcome to the ArcGIS Business Analyst tutorial. This chapter takes you
through the process of analyzing your data—from creating a study area and
adding your customers and stores to actually performing analysis. Once you
install ArcGIS Business Analyst, you will find sample data for this tutorial at
\arcgis\Business Analyst\Datasets\ Tutorial\*.dbf. Depending on the data
option you’ve purchased, the data characteristics and results shown in the
exercises will vary.
In this tutorial, you’re the owner of S & F Hardware, a business with two
locations in the San Francisco area. Business has been good lately, and
you’re thinking about opening one more store. ArcGIS Business Analyst can
help you:
• Locate your customers.
• Locate your stores.
• Determine the trade areas around your stores.
• Locate your best customers.
• Identify your competitors.
You’ve scheduled a meeting with your investors to talk about your ideas for
expansion. Here’s a chance to use ArcGIS Business Analyst as part of your
business solution.
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 Exercise 1: Selecting a geographic area and performing site prospecting
The first task in any analysis is to select your geographic When turned on, this option automatically adjusts the
area of interest. Previous versions of Business Analyst coordinate system of the data frame to a custom
required creation of a study area and extraction of data for Business Analyst projection whenever the map extent
that area to begin work. This is no longer a requirement in changes. If you want to set and maintain a fixed
ArcGIS Business Analyst. All data provided with the coordinate system, turn off the Business Analyst
product is already added to your map document and is
ready for use when you launch the program. extension.

You have the option of simply zooming to your area of 3. The Welcome to Business Analyst dialog box appears.
interest and beginning work or creating a study area Select which map format you want to start using
boundary. One advantage to the study area approach is that Business Analyst with: An existing map, a template, or a
it will show a visible boundary on the map for the extent of new empty map. For this exercise select ‘Business
your analysis and allow you to restrict analysis to data Analyst.mxd’ from the list.
found in that boundary. If a study area boundary is not
present, your analysis boundary is limited to the extent of
the current map view.
Because your stores are in the general San Francisco area,
you will create a study area for the entire county of San
Francisco in this exercise. After creating the study area,
you will perform a quick, simple, three-ring site prospecting
analysis.

Getting started
1. Open ArcMap, click Start, point to Programs, point to
ArcGIS, then click ArcMap.
2. ArcMap launches and the Business Analyst dialog box
appears. This dialog box gives you the option to turn off
the Update Spatial Reference option. To do this, check
the Turn off the Business Analyst Extension box and
click OK.
To leave the extension turned on, click OK.

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 4. The Business Analyst Assistant launches. Review this
tutorial to become familiar with the different functions of
Business Analyst. When you are finished, click Close.
The Business Analyst dialog box mentioned in step 2
appears again. Click OK to close it.
Now, you are ready to begin working with the map. You
can work in either data or layout view and toggle
between them using the Data View and Layout View
buttons located at the lower left of your map. Data view
enlarges your available map views.
Layout View button
Data View
button
The Refresh button can be used
any time you want to refresh the
drawing of your map. If you click
the map while it is drawing, it will
stop the draw process.
TUTORIAL
Ch02.pmd 19
5. Click the File menu and click Save As to save your map
document under a new name. Navigate to the Data
folder and save the map document as Tutorial.mxd.
The default location is C:\My Output Data, but you can
change the location by clicking the Business Analyst
toolbar and selecting Preferences. The Preferences
dialog box opens. Click the General tab and change the
location under the Output Folder section.
The Business Analyst toolbar
The Business Analyst toolbar is open by default. You can
turn it on or off at any time by clicking the View menu,
pointing to Toolbars, and clicking Business Analyst. To
customize the toolbar, click its left edge and drag it into the
map area. Then, click the Tools menu, click Customize, and
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3/14/2007, 3:09 PM
 click the Commands tab. Click the category and command
you want to add and drag the command onto the Business
Analyst toolbar.
Repeat these steps until you have all the commands you
want, then close the Customize dialog box and dock the
Business Analyst toolbar.

Creating a study area

Business Analyst helps you create new study areas and
view and manage existing study areas with an easy-to-
follow wizard. The wizard also provides online Help for you
to reference when you have questions or need more
information. To open the online Help, click the Help button
located on the bottom left of the wizard.
In this exercise, you will create a new study area.
To create a new study area:
1. Click the Business Analyst drop-down menu and click
Study Area. The Study Area wizard appears. Click
Create a New Study Area, then click Next.
2. Select the area you want to perform the analysis. Click
By County from the list provided and click From a list,
then click Next.
Note: Click From a map to select an area by clicking on
a map instead of selecting from a list.
3. Select which counties you want to include in your study
area. In the box on the left, scroll down the list and
select CA, San Francisco (or type the name in the text
box provided). Click the single right arrow to move it to
the right column and click Next.

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 4. Name your study area. Type “San Francisco county” in Business Analyst has a Site Prospecting tool to do simple
the text box and ensure that the Create new project for ring studies and drive-time analyses around a single
this study area check box is checked. Click Finish. location.

Using the Site Prospecting tool

1. Click the Site Prospecting tool on the Business

Analyst toolbar, move the mouse pointer over your map,
and right-click. Click Find point by address from the
menu, and the Site prospecting wizard appears.
2. Type the address as shown below and type “Store #2” in
the Optional name for the site text box. Click Next to
continue.

Your study area layer is created, added to the table of

contents, and shown on the map. Your study area is
outlined on the map with a thick, black line.
Note: An Analysis group layer is created, which will
contain any customer or store layer created or any
analysis performed while the study area is the active
analysis extent.
Consider the following scenario:
Before you begin analysis of your customers and stores,
you want to create a simple three-ring report of the area If you’re using the USA Geocoding Service that comes
around your best store location. Your best store is located at with Business Analyst, you can type a street intersection on
the street intersection of Bosworth and Arlington in San the first Address line in the format “Bosworth and
Francisco, California. You also want to see a demographic Arlington”, “Bosworth & Arlington”, or “Bosworth +
report of the area 0.5, 1.0, and 1.5 miles from that location. Arlington”. The Options button allows you to change
geocoding preferences.

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 3. Choose how you want to define the prospecting area
around your site. You have the option to select Simple
Ring, Drive Time, or Threshold Ring to define your
prospecting area. Click Simple Ring and click Next.
4. Click 3 for the number of rings you want to create for
each store, and three text boxes appear. Type “0.5”,
“1.0”, and “1.5” in the text boxes. For the Distance
Units, select Miles from the pull-down menu, and to
define the trade areas, check Remove Overlap and click
Next.

6. Select one or more report templates. In the box on the

left, click the report template you want to use, then click
the single right arrow to move it to the right column.
When you are finished adding report templates, click
Next.

5. Type “Store 2-Site Prospecting” in the text box, check

Create Reports, then click Next.

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 7. Select the output options for your reports. For this
exercise, check the View reports on screen check box
and click Finish.
Three radius rings will appear on your map around the
Store #2 location, and a report will appear ready for
printing.

Before you continue to Exercise 2, resave your work to the

Tutorial.mxd file. Close the report, click File, and click Save
in ArcMap. Continue to Exercise 2 to locate your stores.

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 Exercise 2: Locating your stores
In this exercise, you’ll add your stores to the study area.
The information you provide on this wizard is used to
geocode your stores. ArcGIS Business Analyst takes the
address and ZIP Code of each of your stores and matches
them with the proper location on the map, then places them
as points on your study area.
Note: The tabular data file of your stores has been placed in
the Business Analyst Tutorial folder with the rest of the
tutorial data.

Adding stores to your study area

1. If you’ve exited ArcMap, click Start, point to Programs,
point to ArcGIS, then click ArcMap. The Business
Analyst extension dialog box opens. Click OK to close it,
and the Welcome to Business Analyst dialog box opens.
Click An existing map, click the Tutorial.mxd file, and
click OK.
The Business Analyst Quick Start Tutorial opens; click
the Close button if you’ve already reviewed the tutorial.
The Business Analyst extension dialog box opens again;
click OK to close it.
2. Click the Business Analyst drop-down menu and click
Store Setup to launch the Store Setup Wizard.
3. Click Create New Store Layer on the Store Setup
Wizard, then click Next.

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 4. Click Tabular data, then click Next. location Business Analyst is installed, but you have the
option to change this).

7. Click sf_stores.dbf and click Add. The file appears in

5. Click In a file on my computer and click Next. the text box in the wizard. Click Next to continue.
6. Click the folder icon to navigate to C:\Program
Files\ArcGIS (this is the default location ArcGIS is
installed) then to the Business Analyst folder at
\Business Analyst\Datasets\Tutorial (this is the default

8. Complete the Address Input Fields. In the Address field,

click the pull-down menu and click ADDRESS. In the

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 ZIP code field, click the pull-down menu and select ZIP. 10. Type “S & F Hardware” in the text box.
Click Next to continue. 11. Type any comments in the area provided.
If you’re using the USA Geocoding Service that comes 12. Click Finish to begin geocoding the store addresses.
with Business Analyst, you can change your geocoding
preferences, including what fields from the geocoder you
want joined to your database, by clicking the Options button
and making your selections.
9. Select the field that contains the name of each of your
stores. Click the drop-down menu and click NAME.
Select the field in the store data that uniquely identifies
each of your stores. To do this, click Find the store ID
field, click the drop-down menu, and click STORE_ID.
Click Next to continue.

If you do not have a unique ID for each record in your
database, click Create a unique ID field for me and type a
name in the text box to create it. You won’t use this option
for this exercise because you have unique store IDs in the
store database.
Your two stores are now visible in your study area. You will
add customers to your study area in Exercise 3.
You can change the shape, size, or color at any time. Click
the store symbol in the table of contents, and the Symbol
Selector dialog box opens. Select the symbol, color, and size
you want, then click OK.
You can remove store layers from the map. To remove a
store layer, right-click the store layer and click Remove.

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 Alternatively, you can use the Store Setup Wizard to delete
them. If you only remove a store layer from the table of
contents, it will no longer appear on the map, but it can be
reopened or used in another map document at any time.
However, if you delete it through the Store Setup Wizard,
you cannot reuse it; the layer must be set up again. Deleting
the layer in Business Analyst won’t remove your original
file from your computer.
4. Click the Symbol button.
5. On the Symbol Selector dialog box, click the Size pull-
down arrow and click 18. For Style, click B to bold the
font, then click OK.
6. Click OK on the Layer Properties dialog box.
The names of the stores are added to your map.

Labeling your stores

Next, you’ll label your stores for easy reference.
1. Right-click the S & F Hardware layer name in the map’s
table of contents to show the context menu, then click
Properties.
The Layer Properties dialog box opens.
2. Click the Labels tab.

7. Click File and click Save to save your work.

Continue to Exercise 3 to add your customers to your study
area.

3. Check the box to Label features in this layer. Verify that

the Label Field (under Text String) is set to NAME.

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 Exercise 3: Locating your customers
By holding weekly drawings for $100 worth of 4. Click Create New Customer Layer on the Customer
merchandise, you’ve collected several hundred customers’ Setup Wizard and click Next.
addresses for each store. In this exercise, you’ll add your
customers to the San Francisco county study area you
created in exercise 1.
Your customer data has been organized in a table and saved
as a dBASE® file. You’ll use this file of tabular data to set
up your customer locations. The Customer Setup Wizard
will place this data as points on a map.

Adding customers to your study area

1. If you’ve exited ArcMap, click Start, point to Programs,
point to ArcGIS, then click ArcMap. The Business
Analyst extension dialog box opens. Click OK to close it,
and the Welcome to Business Analyst dialog box opens.
Click An existing map, then click the Tutorial.mxd file
and click OK. 5. Click Tabular data and click Next.
The Business Analyst Tutorial opens; click Close if
you’ve already reviewed the tutorial. The Business
Analyst extension dialog box opens again; click OK to
close it.
2. Uncheck the Site Prospecting Simple Ring - points layer
to turn it off.
3. Click the Business Analyst toolbar and click Customer
Setup.
The Customer Setup Wizard opens.

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 6. Click In a file on my computer, then click Next.
7. Click the folder icon and Navigate to the drive where
ArcGIS was installed, then to the Business Analyst
folder at arcgis\Business Analyst\Datasets\Tutorial. This
folder contains the Business Analyst tutorial data.
TUTORIAL
Ch02.pmd 29
8. Click sf_custs.dbf and click Add. The file appears in the
text box in the wizard. Click Next to continue.
The information you provide on this wizard panel is used
to geocode your stores. Business Analyst takes the
address and ZIP Code of each of your customers and
matches them with the proper location on the map.
9. Complete the Address Input Fields. In the Address field,
click the drop-down menu and click ADDRESS. In the
ZIP Code field, click the drop-down menu and select
ZIP. Click Next to continue.
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3/14/2007, 3:09 PM
 12. Name your new Customer Layer. Type “Customers” in
the text box, type any comments into the comment area
provided, and click Finish to begin geocoding the
customer addresses.

10. Select the field that contains the name of each of your
customers. Click the pull-down menu on the Customer
Setup Wizard and click NAME.
11. Select the field in the customer layer that uniquely
identifies each of your stores. To do this, click the pull-
down menu and click STORE_ID. Click Next to Your customers are visible in the San Francisco county
continue. study area.

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 You can click the customer symbol in the table of contents
at any time to change the shape, size, or color.
13. If you want to delete a customer layer, you have two
options:
• You can remove the layer from the map by right-
clicking the layer in the table of contents and clicking
Remove. This removes it from the map, but Business
Analyst remembers it as a customer layer that can be
opened at a later time or in another map document.
• You can also delete the layer by clicking the Business
Analyst menu, clicking Customer Setup, Manage
Existing Customer Layer(s), then clicking the option
to delete a customer layer. This method deletes the
layer so it isn’t available for future analysis until it’s
set up again. However, it doesn’t remove your
original file from your computer.
14. Save your work. Click the File menu, then click Save.
Continue to Exercise 4: Determining trade areas around
your stores.

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 Exercise 4: Determining trade areas around your stores
In the previous exercises, you created a study area, added 4. Select the type of trade area you want to create. Click
your customers and stores to the map, and completed all the Customer Data Required, then click Next.
setup tasks required. Now, you are ready to create a new
trade area.
You’ll create customer market areas around your stores
that show where 50, 75, and 90 percent of your customers
are located. Customer market areas are based on the actual
locations of your customers, so they’re a more precise
definition of your stores’ trade areas than a simple ring. You
will compare the simple ring from exercise 1 and two-,
three-, and four-minute drive times in the customer market
areas. You’ll also create a demographic report for the trade
area of each store. You know that Store 2 is doing better, so
you’ll compare the reports to see if you can determine why.
If you’re continuing directly from Exercise 3, go to step 2.
1. If you’ve exited ArcMap, click Start, point to Programs,
point to ArcGIS, then click ArcMap. The Business
Analyst extension dialog box opens; click OK to close it,
and the Welcome to Business Analyst dialog box opens.
Click An existing map, click the Tutorial.mxd file, and
click OK.
The Business Analyst Assistant opens; click the Close
button if you’ve already reviewed the tutorial. The
Business Analyst extension dialog box opens again; click
OK to close it.
2. Click the Business Analyst toolbar and click Trade Area.
The Trade Area Wizard opens.
3. Click Create New Trade Area, then click Next.

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 5. Determine how to create the Customer Data Required
trade areas. Click Customer Derived Areas, then click
Next.

6. Click the pull-down menu and choose the layer that

contains your stores. Select S & F Hardware and click
Next.
7. Choose the field that contains the store ID. Click the
second pull-down menu and select STORE_ID.
8. Click All stores and click Next.
9. Choose which layer contains your customers. Click the
pull-down menu and select Customer. For Store
Assignment, click the pull-down menu, select
STORE_ID, then click Next.
10. Trade areas are created using percentages you enter.
Click By the number of customers and click Next.

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 11. Choose how many trade areas you want to create for 13. Name the new trade area. Customer Derived Areas will
each store. Click “3”, type “50”, “75”, and “90” in the be the default name given. This name should not be
text boxes as the percentages for each trade area, then changed. Check Create Reports, then click Next.
click Next.

14. Click the plus sign next to Summary Reports to expand

the list of templates; click Demographic and Income
12. Specify the hull type you want to create. Click Detailed Profile Report. Click the single right arrow to move the
With Smoothing, then click Next. template to the box on the right, then click Next.

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 15. Select an output option for your reports. Click View It could be that Store 2 is doing better not because the
reports on screen, then click Finish. average income of its customers is higher but because
people who own their homes are more likely to make
larger purchases at a hardware store than people who
rent.
17. If you want to print the report, click the Print button. If
you don’t want to print the report, close the report to
return to ArcMap.
The map of your study area with the Customer Derived
Areas layer becomes visible.
18. Save your work by clicking the File menu and clicking
Save.

A report displays showing the demographics for each of

your stores’ trade areas. You must have a printer
installed for the Crystal Reports report writer to display
your report.
16. Under the Preview tab compare the demographics of
each store’s trade area. Each ring shows a data view
and a graph view. Take note of the 90 percent trade
areas for both stores, with these values in particular:
2000 2006 2011
Households
Store 1 = ________ ________ ________
Store 2 = ________ ________ ________
Owner-occupied HUs
Store 1 = ________ ________ ________ You now have Customer Derived Areas and simple ring
Store 2 = ________ ________ ________ analyses on your map for Store 2.
Average Household Income
Store 1 = ________ ________ ________
Store 2 = ________ ________ ________

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 Turn both layers on to see how they visibly compare
around the Store 2 location; then, turn both layers off by
unchecking them in the table of contents.
19. Add a third analysis based on drive times of two, three,
and four minutes from Store 2. You will use an
alternative method of clicking the location to start the
analysis. First, zoom to the Store 2 location using the
Zoom In tool on the ArcMap toolbar.
20. Click the Site Prospecting tool on the Business Analyst
toolbar, then click the symbol marking the Store 2
location on the map.
21. Click Drive Time on the Site prospecting wizard to
define the prospecting area, then click Next.
23. Select Minutes for Measure Units, then click Next. You
have the option to show the streets traversed in the
drive-time rings as a new layer. For this example, this
box will remain unchecked.

22. Click 3 for the number of Drive Time Trade Areas and
type “2”, “3”, and “4” in the text boxes.

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 24. Type “Drive time area” in the text box, enter any
comments, then click Finish. Ensure the Create Reports
check box is unchecked before clicking Finish.
Drive times of two, three, and four minutes are
displayed on the map.
25. Visually compare the three analyses around the Store 2
location by checking them simultaneously. When
finished, turn them off by unchecking them.
26. Save your work by clicking File and clicking Save.
Continue to Exercise 5 to remove trade area overlap.

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 Exercise 5: Removing trade area overlap
In this exercise, you will remove overlap between two trade
areas.
1. If you’ve exited ArcMap, click Start, point to Programs,
point to ArcGIS, then click ArcMap. The Business
Analyst extension dialog box opens. Click OK to close it,
and the Welcome to Business Analyst dialog box opens.
Click An existing map, then click the Tutorial.mxd file
and click OK.
The Business Analyst Tutorial opens; click Close if
you’ve already reviewed the tutorial. The Business
Analyst extension dialog box opens again; click OK to
close it.
2. Click the Business Analyst toolbar and click Tools, then
click Remove Overlapping. 4. To define the centers of the trade areas, click Use the
store layer. Click the first pull-down menu and select
The Remove Overlapping Wizard opens. S & F Hardware, then click the second pull-down menu
3. Click the first pull-down menu and select the Customer and select STORE_ID. Click Next to continue.
Derived Areas layer. Click the second pull-down menu
and select STORE_ID, then click Next.

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 5. Click Thiessen polygons, then click Next. The results are shown on the map.

6. To name your new trade area, type “Remove

Overlapping” in the text box, enter any comments, then Continue to Exercise 6: Determining market penetration.
click Finish.

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 Exercise 6: Determining market penetration
In this exercise, you will calculate market penetration by 4. Click Create New Trade Area, then click Next.
comparing the number of customers in each of the rings
you created in exercise 4 with the total population in each
ring.
If you’re continuing directly from exercise 5, go to step 2.
1. If you’ve exited ArcMap, click Start, point to Programs,
point to ArcGIS, then click ArcMap. The Business
Analyst extension dialog box opens. Click OK to close it,
and the Welcome to Business Analyst dialog box opens.
Click An existing map, then click the Tutorial.mxd file
and click OK.
The Business Analyst Tutorial opens; click Close if
you’ve already reviewed the tutorial. The Business
Analyst extension dialog box opens again; click OK to
close it.
2. In the table of contents, click the layer for Customer 5. Click Customer Data Required, then click Next.
Derived Areas to make it visible. Verify that the layers
for Drive time area and Store #2 Site Prospecting are
turned off by unchecking them.
3. Click the Business Analyst menu and click Trade Area.

40 USING ARCGIS BUSINESS ANALYST

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 6. Click Market Penetration, then click Next.
7. Select the layers that contain your customers. Click the
pull-down menu and select Customers, then click Next.
8. Select the base layer to use for calculating market
penetration. Click the first pull-down menu and select
Block Groups. Then, click the second pull-down menu
TUTORIAL
Ch02.pmd 41
and click ID, and click the third pull-down menu and
click NAME.
9. On the next screen, you are asked to identify where to
locate the total market counts for each area. In this
example, you will use the second option. Click Calculate
using Business Analyst data, choose Block Groups and
Area using the pull-down menus, then click Next.
41
3/14/2007, 3:09 PM
 10. The next screen is divided into two sections: Report
Options and Analysis Options. Under Report Options,
ensure that the Generate Report check box is
unchecked. Under Analysis Options, type “Customer
Market Penetration” for the name of the new trade
area, then click Finish.
11. You will see the same shape in your Customer Market
Penetration layer colored to reflect customer market
penetration. The layer legend displays the market
penetration percentage. You can click and drag this
layer to move it above or below any other layer for
different display effects. You can also use the
Transparency tool to make this layer transparent, then
graphically overlay it with another layer.
12. Save your work by clicking File and clicking Save.

Continue to Exercise 7 to identify your competitors.

42 USING ARCGIS BUSINESS ANALYST

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 Exercise 7: Identifying your competitors
In this last exercise, you will identify the locations of your 3. To set the Location, click the Select button.
competitors. The Select Location dialog box opens.
If you’re continuing directly from exercise 6, go to step 2. 4. Click the Select geographic search criteria button, then
1. If you’ve exited ArcMap, click Start, point to Programs, type the state abbreviation and city in the State Abbr and
point to ArcGIS, then click ArcMap. The Business City text fields. If you know the ZIP Code, you can
Analyst extension dialog box opens. Click OK to close it, enter it in the ZIP Code text box.
and the Welcome to Business Analyst dialog box opens. When you type the first letters of the state abbreviation
Click An existing map, then click the Tutorial.mxd file and city in the text boxes, the state and city lists jump to
and click OK. the letters you entered.
The Business Analyst Tutorial opens; click Close if
you’ve already reviewed the tutorial. The Business
Analyst extension dialog box opens again; click OK to
close it.
2. Click the Business Analyst toolbar, click Data, then click
Add Business Listings.
The Add Business Listings dialog box opens.

TUTORIAL 43

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 5. Click OK and you are returned to the main Add
Business Listings dialog box.
6. To select the Type of Business (SIC), click Select and
the Business Type Dialog box opens.
7. In the Key Words text box, type “hardware”. The Code
and Description lists jump to the code and descriptions
that match what you entered. Click 5251 HARDWARE
STORES and click OK.
You can also enter the SIC Code in the SIC Codes text
box.
44
Ch02.pmd 44
8. Click Finish and your selections are displayed on the
map and added to your TOC as the Business layer.
Now that you’ve completed all the tasks in the tutorial, you
have a good idea of what’s involved with using Business
Analyst from creating a study area to performing analyses.
If you want, you can enter the addresses of possible new
store locations. Use the steps in exercise 1 to analyze them
and compare with the Store 2 report to find the best site for
your new store. You can also use the Add Business Listings
wizard to add all retail hardware stores in San Francisco to
the map. You’ll be able to see your competitors and assess
their proximity to your proposed store locations. Continue
reading through the book to learn about other things you can
do with Business Analyst or, if you prefer, use this book as
a reference, reading the specific sections you need to
complete your tasks.
USING ARCGIS BUSINESS ANALYST
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 Business Analyst toolbar
IN THIS CHAPTER
3
In this chapter, you will learn about the Business Analyst menu commands
and toolbars and how to perform site prospecting on the map or by using the
• Using the Business Analyst context menu.
toolbar
You can perform site prospecting using either the Site Prospecting tool or
• Site prospecting on the map using the ArcMap Find tool. When you click the Site Prospecting tool from the
the Site Prospecting tool Business Analyst toolbar, you have the option of clicking directly on the map
to launch the Site Prospecting Wizard or right-clicking anywhere on the map
• Site prospecting using the Site
to open the context menu and find a point by address, selected point, or by
Prospecting tool context menu
defining coordinates.
• Site prospecting using the ArcMap
Find tool

• Dynamic Ring Analysis tool

• Using the Business Analyst

Assistant

• Identify Business tool

• Using the Project Explorer

45

Ch03.pmd 45 3/14/2007, 3:20 PM

 Using the Business Analyst toolbar
Business Analyst toolbar drop-down menu
If the Business analyst toolbar is not visible, click the View menu,
click Toolbars, then click Business analyst. The dockable toolbar
opens.
Study Area—Launches the Study Area Wizard to create new
study areas or view and manage existing study areas
Set Analysis Extent—Allows you to set the analysis extent to the
current map view or to jump to a different location
Store Setup—Launches the Store Setup Wizard to create new
store layers or view and manage existing store layers
Customer Setup—Launches the Customer Setup Wizard to
create new customer layers or view and manage existing customer
layers
46
Ch03.pmd 46
Trade Area—Launches the Trade Area Wizard to create new
trade areas or view and manage existing trade areas
Analysis—Launches the Analysis Wizard to create new analysis
or view and manage existing analyses
Modeling—Launches the Modeling Wizard to create modeling
analysis, view and manage existing modeling analyses, or manage
model calibration parameters
Tools—Provides tools that allow you to:
• Perform thematic mapping.
• Remove overlapping.
• Create grids.
• Find routes.
• Dissolve by attribute.
• Perform spatial overlay.
• Find similar.
• View and produce market ranking reports.
• Perform site prospecting.
Reports—Launches the Report Wizard to run, open, and manage
existing reports or create and manage custom report templates
Segmentation—Allows you to create profiles, target groups,
segmentation charts, maps, and reports and manage existing
analysis and segmentation studies
Batch Tasks—Allows you to create batch tasks
Data—Allows you to add a business listing, Excel table, and
analysis layer and import an add-on data pack
Active Project—Allows you to make a different project the active
project, and to create and manage projects
Preferences—Launches the Preferences dialog box to view or
make changes to a variety of settings
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 Site prospecting
on the map using
the Site
Prospecting tool
ArcGIS Business Analyst
provides a quick tool on the
Business Analyst toolbar to
perform site prospecting by
simple ring, drive time, or
threshold ring analysis.
Tip
By default the site prospecting tool
is avialable from the Business
Analyst toolbar by clicking a point
on the map. You can access other
site prospecting options by clicking
the down arrow next to the site
prospecting button and choosing
one of the following:
- Find point by address
- Use selected point on the map
- Input coordinates
The respective graphic will take the
place of the default prospeting tool
button on the Business Analyst
toolbar when you choose one of
these methods.
Tip
If you have not already created a
study area, see Chapter 2,
‘Tutorial’, for help.
BUSINESS ANALYST TOOLBAR
Ch03.pmd 47
Getting started
1. Open the study area in which
you want to perform site
prospecting.
2. Click the Site Prospecting
tool on the Business Analyst
toolbar.
3. Click an area on the map
where you want to perform
site prospecting.
The Site Prospecting Wizard
opens.
4. Click Simple Ring, Drive
Time, or Threshold Ring,
then click Next.
Each of these analyses is
described in detail in
Chapter 7.
The next steps depend on
which Site Prospecting
option you selected in step 4
above. The following sections
provide instructions for each
option.
Simple Ring
a. If you selected Simple Ring,
choose the number of rings
you want to create for each
store, then type a value for
each ring in the text boxes.
Click the distance units from
the drop-down menu, click
Remove Overlap or Donut to
define the trade areas, then
click Next.
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3/14/2007, 3:20 PM
 b. Type a name for the new
trade area, type any com-
ments, then click Finish. The
results are displayed on the
map.
Drive Time
a. If you selected Drive Time,
choose how many drive-time
trade areas you want to
create, then type a value for
each drive time in the text
boxes. Click the Measure
Units drop-down menu and
click the distance units you
want to use. Optionally,
complete the Traversed
streets and Drive Time Type
sections, then click Next.
b. Type a name for the new
trade area, type any com-
ments, then click Finish. The
results are displayed on the
map.
Threshold Ring
a. If you selected Threshold
Ring, click the threshold layer
from the drop-down menu,
click the field to aggregate
from the second drop-down
menu, then click Next.
Choose how many rings you
want to create, then type a
value for each ring. Click
Donut to define the trade
areas, then click Next. u

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 b. Type a name for the new
trade area, type any com-
ments, then click Finish. The
results are displayed on the
map.

BUSINESS ANALYST TOOLBAR 49

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 Site prospecting
using the Site
Prospecting tool
context menu
The Business Analyst Site
Prospecting tool has a context
menu to provide alternatives for
setting the center point of the
analysis. This context menu
allows you to choose the center
point by entering an address or
geographic coordinate or by
using a selected point on the
map.
50
Ch03.pmd 50
1. Open the study area in which
you want to perform site
prospecting.
2. Click the Site Prospecting
tool on the Business Analyst
toolbar.
3. Right-click anywhere on the
map, and the Site Prospect-
ing tool context menu
appears.
4. To perform site prospecting
using an address, click Find
point by address.
Type the address in the text
boxes, then click Next to
continue through the wizard.
5. To perform site prospecting
using the point feature that is
currently selected, click Use
selected point. This option is
only active if a point is
selected on the map.
The Analysis Wizard opens.
6. To perform site prospecting
using coordinates, click Input
coordinates and the Site
Prospecting Wizard opens.
7. Type the longitude and
latitude coordinates in the
text fields in decimal de-
grees, then click Next to
continue through the wizard.
USING ARCGIS BUSINESS ANALYST
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 Site prospecting 1. Open the study area in which
you want to perform site
using the ArcMap prospecting.

Find tool 2. Click the Find tool on

the ArcMap Tools toolbar.
The ArcMap Find tool can be
3. Type an address, ZIP Code,
used to perform site prospect-
or ZIP+4 to use as the center
ing. The found site context
point for site prospecting,
menu offers this additional
then click Find.
capability.
4. Right-click the found location
to show the Find context
menu. Click Site Prospect
this Address.
The Site Prospecting Wizard
opens with the option to
choose simple rings, drive
time, or threshold rings. Each
of these analyses is
described in detail in
Chapter 7.

BUSINESS ANALYST TOOLBAR 51

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 Dynamic Ring
Analysis tool
The Dynamic Ring Analysis
tool allows you to pan over the
map and evaluate site locations
using a value you set as a
threshold. You can also choose
to view a chart with a number of
variables that are summarized
within the area of the dynamic
ring. The chart is dynamically
updated as you move the
mouse pointer around the map.
You have the option of defining
a Threshold field and Threshold
value. If you do, the dynamic
ring will be red in the areas
where the threshold value is not
exceeded and will be green
when you find an area where
the threshold value is met. This
feature will allow quick and
obvious screening of possible
site locations that meet your
target criteria.
52
Ch03.pmd 52
1. Open the study area in which
you want to use the Dynamic
Ring Analysis tool.
2. Click the Dynamic Ring
Analysis tool and the Dy-
namic Ring Analysis bar
chart will appear. It shows
whatever variables were
selected during its previous
use.
3. Click an area on the map and
the Dynamic Ring Analysis
bar chart will update for the
new ring area shown on the
map. If you click and hold as
you move the mouse pointer
around the map, the Dynamic
Ring Analysis bar chart will
dynamically update.
4. You can change the selected
variables by clicking the
Change Parameter button at
the bottom of the Dynamic
Ring Analysis window.
5. Add, remove, or reorder
variables to reflect those you
want displayed. u
USING ARCGIS BUSINESS ANALYST
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 Tip
You can change the threshold
without going through the wizard
again. If you want to change the
variables, it is necessary to click
the Change Parameters button
again. If you find a desirable site,
you can use the right-click context
menu to activate the Business
Analyst Site Prospecting Wizard on
the site.
BUSINESS ANALYST TOOLBAR
Ch03.pmd 53
6. Click the field to be used for
a quick threshold analysis,
and type the threshold value.
This parameter is optional. If
used, it will color your ring
green or red to reflect
whether or not the threshold
value was met.
7. Type a radius for the dynamic
ring analysis and choose the
distance units. Click Finish.
The dockable window will
appear containing the
Dynamic Ring Analysis bar
chart and threshold field
values, if any, that you have
selected.
8. When you move the mouse
pointer over the map, the ring
moves with it, and the values
in the Dynamic Ring Analysis
bar chart are updated in real
time.
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3/14/2007, 3:20 PM
 Using the Business Analyst Assistant
The Business Analyst Assistant is a dockable window that
provides a gateway to some of the more common tasks in
Business Analyst. If you know what you want to accomplish, but
are not sure where to begin this dialog is organized by function to
bypass the Business Analyst dropdown toolbar and send you
directly to the appropriate wizard. This is especially helpful for
new users.
You can also customize the Business Analyst Assistant to fit
your needs. For example you can add shortcut links to your most
frequent analysis tools or create a custom start page for your
company to reference.
Accessing the Business Analyst Assistant
The Business Analyst Assistant by default is docked beside the
ArcMap interface. This allows you to read and interact with the
Assistant while working.
1. To launch the Business Analyst Assistant, click the Business
Analyst Assistant tool. on the BA toolbar
The Business Analyst Assistant dialog box opens.
2. Click the hyperlinks to learn more about a popular business
scenario, such as Market Analysis or Customer Analytics.
Customizing the Business Analyst Assistant
1. If you installed your data to the default paths navigate to
C:\Program Files\ArcGIS\Business
Analyst\Datasets\Business Analyst Assistant
2. Modify the .html document files in an editing environment to
create a custom Business Analyst Assistant page. The
all_wizards.html file shows a page of url links to all wizards
accessible through the Business Analyst dropdown toolbar.
The index.html file controls the main page of the Business
Analyst Assistant.

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 Identify Business
tool
The Identify Business tool
allows you to click on the map to
view information, such as the
address, telephone number, sales
volume, and employee range for
an individual business. The
Identify Business tool is inactive
until you add a business layer to
your map. See Chapter 5 to learn
more about adding business
listing layers.
Tip
Once your business layer is added
to the map, the Identify Business
tool becomes active.
BUSINESS ANALYST TOOLBAR
Ch03.pmd 55
Using the Identify
Business tool
1. Click the Identify Business
tool on the Business Analyst
toolbar.
2. Move your mouse pointer
over the map and double-
click in the area the business
is located.
The Select Business dialog
box opens.
3. Select a business from the
list and click OK.
A new dialog box opens to
display the business
information.
55
3/14/2007, 3:20 PM
 Using the Project Using the Project
Explorer window
Explorer
1. Click the Project Explorer
The Project Explorer is a tool on the Business Analyst
dockable window to help manage toolbar.
and associate multiple layers and The Project Explorer window
projects in ArcMap and opens.
ArcCatalog. 2. Select the Project you wish to
work with from the drop-
Tip down menu.
Right-click on a Project layer to
3. Check on or off the different
access context-sensitive menus for
layers you wish to view.
further data management options
including: 4. Click Update Map to add
- Copy to: your Project layers to the
- Move to: map and table of contents.
- Export to feature class:
- Delete
- Properties

Tip
By selecting the View Manager icon
from within the Project Explorer
Window you can further organize
your analyses and data. To use this
dialog window, first check on the
analyses and data items from within
your project window that you wish
to save. Select New and then name
your subset. You will then see the
name of your subset in the dialog
box. Now your selections have been
saved and you have the option to
automatically select these items in
the future simply by activating the
View Manager and highlighting the
subset you wish to load and hitting
the Select button.

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 Organizing your work and creating a study area
IN THIS CHAPTER
• Managing Projects
• Creating a My Output Data folder
on a different drive
• Virtual versus defined study areas
• Using ZIP Codes
• Creating a study area from a map
• Choosing a study area from a list
• Using the entire United States
• Clipping all your data so it only
includes the study area
• Using a currently selected shape
on the map
• Selecting subgeographies inside
an existing study area
• Using a simple ring
• Managing existing study areas
Ch04.pmd 57
4
In Chapter 2, ‘Tutorial’, you learned that performing geographic analysis can
begin with creating a study area, which you did by choosing a study area
from a list. This chapter shows you other ways to create a study area as
well as other tasks you can complete using the Study Area Wizard.
A study area is defined as the geographic area in which you perform
analysis. Customer points, store points, and analysis results that are added to
the map while a study area is the active extent will be added to both the map
and the table of contents as layers in the Study Area group layer.
You can choose from a map or a list to select the geographic area and level
of geography, or you can make your own shape if the study area you want
isn’t available. For instance, you might want the lower right corner of Dallas
County or perhaps an area that includes sections of two states. You can also
choose ZIP Codes, counties, Core-Based Statistical Areas (CBSAs),
Designated Market Areas (DMAs), states, or the entire United States.
When you create a study area, it is automatically saved to your hard drive in
the My Output Data folder. This folder was placed on the c: drive of your
computer the first time ArcGIS Business Analyst was installed. You can
create another My Output Data folder on another drive using the Business
Analyst Preferences dialog box.
57
3/14/2007, 3:29 PM
 The My Output Data folder contains: Saving your work as a map document
• Study areas created using the Study Area Wizard 1. Double-click the ArcMap icon on your desktop, or click Start,
• Customer data setup using the Customer Setup wizard point to Programs, point to ArcGIS, click Business Analyst,
and click Business Analyst.mxd (you can also click
• Store data setup using the Store Setup wizard
BA_Detailed.mxd). If you’re using the ArcMap icon, click the
• Analyses created using the Analysis wizard option for an existing map, select the path for Business
For more detailed information about the My Output Data folder Analyst.mxd, then click OK. Business Analyst.mxd is opened
structure, see the Appendix. automatically, and the first panel of the Create Study Area
wizard appears.
Using map documents to manage your work 2. The Business Analyst.mxd map will appear. Before beginning
your work, save the map under your own map document name
Even though Business Analyst automatically saves all your work
by clicking the File menu, clicking Save As, and entering a
to the My Output Data folder, you must still save your work as a
name for your map document.
map document. A map document is an ArcGIS file that contains all
the maps, tables, charts, layouts, and reports that you use for a 3. Your work will be saved to your map document. The next time
particular application or set of related applications. In this way, all you start Business Analyst, it will appear as one of the
your work is stored in one convenient map document that is existing map documents available on the Welcome screen.
defined with a .mxd extension.
There is are two default Business Analyst map documents
prepared for your use called Business Analyst.mxd and
BA_Detailed.mxd You should use these .mxd files as master
documents to save as your own .mxd files with which you’ll do
your work. The master documents, Business Analyst.mxd and
BA_Detailed.mxd, are read-only file. This ensures that they are
preserved for you to have available as a master for future use. If
you have a small number of study areas, you can save them all in
one map document. However, if you have many study areas, it
might be easier to save separate .mxd files for your study areas.
You can save your study areas to one .mxd file or several,
depending on what is easiest for you.

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 Using projects to separate work within map
documents
Use the Active Projects tool on the Business Analyst drop-down
menu to change which project is active, create new projects, and
manage projects.

Make a project active

To make a project active, click the Business Analyst drop-down
menu, click Active Project, and click a project name from the list.

Creating a new project

1. Click the Business Analyst drop-down menu, click Active
Project, and click Create New Project.
The Create New Project Wizard opens.
2. Type a name for your new project in the text box and add any
comments, then click Finish.
Your new project is now the active project. To see this, click the
Business Analyst drop-down menu, click Active Project, and your
new project name appears in the list with a check mark next to it
indicating that it is the active project.

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 Managing Projects Backing up projects
1. Click the Business Analyst drop-down menu, click Active You can take advantage of context sensitive menus in ArcCatalog
Project, and click Manage Projects. to backup, export, and import Business Analyst Projects. This is
The Manage Projects Wizard opens. helpful when sharing Projects with other users.

2. From the Projects list, click the project you want to manage.
3. From the Actions section, click one of the following: 1. OpenArcCatalog and navigate to your Business Analyst Data
folder.
• Make Active
2. Right-click on the Project you want to export/back up.
• Delete Project
3. Select Export/Backup Project...
• Rename project or edit comments
4. Choose the location where you want to export and the name
4. Click Finish. of the Project, click OK.
All files associated with the Project are grouped and extracted
into a .zip file that can be imported back into Business
Analyst.

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 Managing 1. Click the Project Explorer
button on the Business
Projects using Analyst toolbar.

the Project The Project Explorer window

opens.
Explorer window 2. From the drop-down section,
click the Project you want to
The Project Explorer is a
work with
dockable window in Business
Analyst that helps manage and 3. Click Update Map.
associate multiple layers and Your Project and all associ-
Projects in ArcMap. From the ated files are now added to
window you can perform various the map’s table of contents.
data management activities such 4. To further manage your
as copy layers from one project Projects, right-click the layers
to another and export layers to in the Project Explorer for
feature class without having to context sensitive menus.
access the map’s table of
contents. If you forget to save
the .mxd you are working on
before closing you can quickly
load all Project layers at once
instead of adding them through
Business Analyst wizards
individually.

Tip
Adding layers using the
Project Explorer
Using the Project Explorer you can
quickly add several Business
Analyst layers (customers, stores,
trade areas, analyses, and so on)
in your ArcMap table of contents.
To do so, select the Project from the
drop-down list, then choose the
relevant layers and click Update
Map.

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 Creating a My 1. Click the Business Analyst
drop-down menu and click
Output Data Preferences.

folder on a The Preferences dialog box

opens.
different drive 2. Under the Output Folder
All Business Analyst informa- section, click the folder icon
tion—for example, study areas to browse to the location
you create and analysis where you want the My
results—is stored in the My Output Data folder stored, or
Output Data folder. type the path name in the text
box.
By default, the My Output Data
folder is placed on the same 3. Click OK.
drive where you installed Your new My Output Data
ArcGIS. You can create another folder is created in the
My Output Data folder on a location you selected.
different drive using the
Preferences wizard.
Determine where you want your
My Output Data folder to be
located before you begin
creating study areas. If you
change the location of your My
Output Data folder after
creating a study area, any new
layers added or analysis results
will be stored in that location.
All existing study areas will
remain in the My Output Data
folder on the drive where they
were created.

Tip
Changing the My Output
folder name
You can change the folder name
from My Output Data to any name
you choose.

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 Virtual versus defined study areas
ArcGIS Business Analyst contains two different kinds of study
areas: virtual study areas and defined study areas. A virtual study
area is simply the current extent of your map document; it never
has a defined boundary. A defined study area has a boundary.
You can use Set Analysis Extent as an alternative to bookmarks.
Any preset choices in the Bookmark menu would leave the
current map view of the map checked, and all analyses would
only work on the visible extent. For example, if you were working
on a defined study area in the Atlanta, Georgia, area and used an
ArcMap bookmark you had created to move your map view to
Detroit, Michigan, the analysis extent would still be set for
Atlanta. The disadvantage of using bookmarks to navigate the
map is that they don’t change the active extent for analysis
purposes.
ORGANIZING YOUR WORK AND CREATING A STUDY AREA
Ch04.pmd 63
The benefit to the virtual study area is that it allows you to set
the current extent efficiently rather than scrolling through a long
list of bookmarks while also updating your analysis extent.
The virtual study area is created using Set Analysis Extent in the
Business Analyst menu. Use the Jump to Location option, which
can be used to quickly navigate the map to a particular state or
major CBSA location and, at the same time, change the analysis
extent to the area to which you are jumping.
Before creating a customer derived trade area, use the Study Area
Wizard to create a study area that encompasses all of your
customers. This defined extent will ensure your entire customer
base is used in the analysis for best results.
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 Using ZIP Codes 1. Click the Business Analyst
drop-down menu and click
If you know the ZIP Codes Study Area.
where most of your customers The Study Area Wizard
and stores are located, this is opens.
an easy, accurate way to create
2. Click Create New Study
a study area. For instance, if
Area, then click Next.
you send bulk mailings of
advertising to a group of ZIP 3. From the list of study area
Codes, you might want to options, click By ZIP, then
create a study area of those ZIP click Next. u
Codes.
Using the Study Area Wizard,
define the ZIP Codes you want
to include in your study area or
use a wildcard (*) after two,
three, or four numbers to
include all ZIP Codes with a
certain number sequence.

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 Tip
Using wildcards
To include all ZIP Codes with a
certain number sequence, use a
wildcard (*) after two, three, or
four numbers.
4. Enter the ZIP Codes you
want to include in your study
area in the text field, then
click Next.
5. Type a unique name for the
study area. Note that you can
use spaces or special
characters. u

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 6. Click Finish.
The study area you defined
by the ZIP Codes you
entered displays on the map
in black.

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 Creating a study 1. Click the Business Analyst
drop-down menu and click
area from a map Study Area.
2. From the list of options, click
To create a study area from a
one of the following:
map, define what you want the
map to show, then point and • By State
click or drag a box to select the • By County
study area.
• By CBSA
• By DMA
• By ZIP
• Use whole USA
• By currently selected
shapes
• By simple ring
• By current extent
3. Click From a map, then click
Next.
4. Click the Select Features
tool, then click an area on the
map.
The selected features are
highlighted in yellow. u

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 5. Click Next.
Select Features
6. Type a unique name for your
Pan study area. You can use
spaces and special charac-
ters. Enter any comments in
Zoom In
the Comments text box, then
click Finish.
Zoom Out
The study area you defined
displays on the map.
Zoom to Selected Features

Full Extent

Annotation

Tips
To select more than one option,
click and drag a box around the
areas on the map or hold the Shift
key down and click each area to
select it.
Features remain highlighted until
you make a different selection or
deselect them.
To deselect a feature, click the
Select Features tool, then hold the
Shift key down and click the areas
on the map you want to deselect.
Use the Zoom In tool to see the
area you want more clearly.
Click the Annotation tool to display
names on the map.

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 Choosing a study 1. Click the Business Analyst
drop-down menu and click
area from a list Study Area.
2. From the list of options, click
To create a study area from a
one of the following:
list, define what you want the
list to show, then select what • By State
you want to include in your • By County
study area.
• By CBSA
• By DMA
• By ZIP
• Use whole USA
• By currently selected
shapes
• By simple ring
• By current extent
3. Click From a list, then click
Next.
4. Scroll to or type the name of
the state you want to define
in the text box, then click the
Right arrow button to move it
to the far right column. u

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 5. Click Next.
6. Type a unique name for your
study area. You can use
spaces and special charac-
ters. Enter any comments in
the Comments text box, then
click Finish.
The study area you defined
displays on the map.

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 Using the entire 1. Click the Business Analyst
drop-down menu and click
United States Study Area.
2. From the list of options, click
Creating a study area of the
Use whole USA, then click
United States allows you to
Next. u
look at the overall distribution
of your data before deciding on
which areas to focus.
If you know that your customer
base is nationwide, using the
entire United States is a good
way to create a study area. You
can also use this option if you
don’t know exactly where your
customers are located. After
you geocode them and can see
their location, you can create a
more specific study area by
drawing a shape or selecting a
trade area you’ve created.
When you create a study area
using the entire United States,
drive time will be calculated
from the compressed data, even
for multiple store locations
across the United States.
However, it is recommended
that you use no more than
ten store locations at a time to
perform drive-time analysis.

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 3. Type a unique name for your
study area. You can use
spaces and special charac-
ters. Enter any comments in
the Comments text box, then
click Finish.
The study area of the United
States opens on the map. You
can use the Zoom In tool to
draw a box around the
continental United States, if
that’s your area of interest, to
zoom to it.

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 1. Right-click the map area and
Clipping all your click Properties.
data so it only The Data Frame Properties
dialog box opens.
includes the
2. Click the Data Frame tab.
study area 3. Check the Enable check box.
When you create a study area, 4. Optionally, click the Specify
you can set the properties in Shape button to specify the
the layer’s data frame to clip all shape you want.
data to only include the study The Data Frame Clipping
area shape. dialog box opens.
a. To outline the features,
click Outline of Features,
click the Layer drop-
down arrow and specify
the layer you want to
use, then click the
Features drop-down
arrow and specify the
features you want to use.
b. To set a custom extent,
click Custom Extent and
type the information in
the text boxes.
c. Click OK.
5. Optionally, you can change
the background color by
clicking the Frame tab, then
clicking the Background
drop-down arrow and
selecting a color.
6. Click Apply in the Data
Frame Properties dialog box.
7. Click OK.
The data clipping process
may take several minutes.

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 Using a currently
selected shape
on the map
You can create a study area by
drawing a shape on an existing
study area. For instance, as in
the example shown here, you
may find that the study area
you first created is larger than
the actual area of your custom-
ers and stores. Use the drawing
tools to draw a shape around
the area you want your new
study area to include.
You can also use this option to
expand your study area if your
customer set extends beyond
the outline of your study area.
74
Ch04.pmd 74
1. In ArcMap, open the study
area you want to use to
create a new study area.
2. On the Drawing toolbar, click
the Shape drop-down arrow Select Elements tool
and click the shape you want
to draw.
To draw a rectangle, click
and drag a box over the area
that you want to include in
your study area.
To draw a circle, click and
drag a circle over the desired
area. The crosshairs indicate
the center of the circle.
To draw a polygon, click
once on each vertex of the
shape you want to draw and
double-click to finish.
3. If you need to adjust the size
of your shape, click the
Select Elements tool, then
click any of the graphic
handles and drag.
Make sure that the graphic
remains selected (the
graphic handles should be
visible). Handles for resizing
4. Click the Business Analyst
drop-down menu and click
Study Area. u
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 5. Click Create New Study
Area, then click Next.
6. Click By currently selected
shapes, then click Next.
The wizard displays a
summary of the selected
shapes. u

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 7. Type a unique name for your
study area. Note that you can
use spaces or special
characters. u

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 8. Click Finish.
The study area you defined
opens.
You can now remove the
shape by clicking its center to
select it (the graphic handles
should be visible) and
pressing Delete.
The new study area is visible
on the map.

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 Selecting 1. Open the study area you
want to use to create a new
subgeographies study area.

inside an existing 2. From the ArcMap toolbar,

click Selection and click Set
study area Selectable Layers.

You can create a study area by 3. Click the Clear All button,
selecting shapes from an then scroll down to Block
existing study area. For Groups and check the check
example, suppose you’ve box.
created a study area of 4. Click Close.
100 block groups where you
5. In the table of contents, check
send bulk mailings. After
the Thematic Layers on and
adding customers to your study
check the Site Map layer off
area and performing analysis,
as well as any other layers
you find that the majority of
that may obscure your
your sales come from 16 of
selection of block group
those block groups. You can
shapes. u
select those shapes on your
study area and create a new one
from those 16 block groups.
You can also use a trade area or
any other shape in a layer to
create a study area.

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 6. Click the Select Features tool
on the Tools toolbar and click
the block groups you want.
To select more than one
shape, hold down the Shift
key as you click.
To deselect a shape, hold
down the Shift key and click
the selected feature with the Selected block groups
Select Feature tool. u are outlined in blue.

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 7. Leaving the features
selected, click the Business
Analyst drop-down menu and
click Study Area.
8. Click Create New Study
Area, then click Next.
9. Click By currently selected
shapes. The wizard panel
displays a summary of the
shapes that you’ve selected
to define your study area.
10. Click Next.
11. Type a name for your study
area.
You must provide a unique
name; you can use spaces or
special characters.
12. Click Finish.
13. Deselect the block group
shapes by going to the
Selection menu and clicking
Clear Selected Features. The
new study area will then be
visible.

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 Using a simple 1. Click the Business Analyst
drop-down menu, click Study
ring Area, then click Create New
Study Area.
You can create a study area
2. From the list of options, click
around a point by specifying
By simple ring.
the location and entering the
radius of the desired ring. The 3. Click Next. u
location can be entered using
latitude/longitude coordinates
or by entering an address.

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 4. Enter the longitude and
latitude of the site location or
click I have an address for
the site. The Geocode one
address dialog box opens.
Enter the address and click
OK. Enter the radius of the
ring in the Ring Radius text
box, click the drop-down
menu and select a distance
unit from the list, then click
Next. u

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 5. Type a unique name for your
study area; you can use
spaces and special charac-
ters. Enter any comments in
the Comments text box, then
click Finish.
The study area you defined
is displayed on the map.

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 Using the current
map extent
You can create a study area
using the current map view area
(current map extent) by select-
ing the Study Area Wizard and
choosing By current extent. A
study area boundary will be
created around the current map
view area.
84
Ch04.pmd 84
1. Click the Business Analyst
drop-down menu, click Study
Area, and click Create New
Study Area.
2. From the list of options, click
By current extent.
3. Click Next.
4. Type a unique name for your
study area; you can use
spaces and special charac-
ters. Enter any comments in
the Comments text box, then
click Finish.
The study area you defined
displays on the map.
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 Managing 1. Click the Business Analyst
drop-down menu and click
existing study Study Area.

areas 2. Click Manage Existing Study

Areas and click Next.
You can use the Study Area 3. Select one or more study
Wizard to open a study area areas from the Study Areas
you’ve already created. If you section, then select one of
saved the map document that the following actions: Open
the study area is in before Study Area(s), Modify Study
exiting ArcGIS, the study area Area, Delete Study Area(s),
map will be exactly as you or Rename or Edit
left it. Comments.
If you didn’t, any customer, 4. Click Finish.
store, or analysis layers in your
study area won’t be visible. You
can add them to the map by
opening them from their
respective wizards. If you made
any changes using the Prefer-
ences or Thematic Mapping
wizards, you’ll also need to
reset those if you didn’t save
the map document.

Tip
Using the different
managing views
You can view the study areas you
are managing in two different
ways, Show All and Hide All.
Clicking the Show All button will
display study areas grouped by
individual Projects in a tree view.
Clicking the Hide All button will
display all study areas for the
active Project only.

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 Renaming or
modifying a study
area
To change the name of or
modify an existing study area,
use the Manage Existing Study
Areas option on the Study Area
Wizard. When you’re finished
with your changes, you can
open the study area or cancel
the wizard.
86
Ch04.pmd 86
1. Click the Business Analyst
drop-down menu and click
Study Area.
2. Click Manage Existing Study
Areas and click Next.
3. Click the study area you want
to edit, then click Rename or
Edit Comments or Modify
Study Area, then click Next.
4. If you selected to Rename or
Edit Comments, enter the
new name in the text field,
enter any comments, and
click Finish.
If you selected to modify the
study area, follow the Study
Area Wizard to make your
changes to the study area.
Click Finish when you’re
finished modifying the study
area.
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 Deleting a study
area
You can delete a study area by
using the Study Area Wizard.
Deleting a study area removes it
permanently from the My
Output Data folder. If you’ve
saved the study area to a map
document and that map
document is open when you
delete the study area, it will also
be removed from the map
document. Deleting a study
area permanently removes any
layers or analysis results
associated with the study area
from Business Analyst. The
original files you used aren’t
removed from your hard drive.
1. Click the Business Analyst
drop-down menu and click
Study Area.
2. Click Manage Existing Study
Areas and click Next.
3. Click the study area you want
to delete, then click Delete
Study Area(s).
4. Click Finish. A dialog box
opens asking if you want to
proceed. Click Yes to delete
the study area.
The selected study areas are
permanently deleted from
Business Analyst.

Tip
Removing a study area
from the visible legend
To remove a study area from the
visible legend, right-click the layer
and click Remove. Your study area
remains in your .mxd file for future
use but is no longer in your table of
contents or visible on your map. If
you go to the Study Area Wizard
dialog box and choose Manage
Existing Study Areas, the study
area will be available to reopen.

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Ch04.pmd 88 3/14/2007, 3:29 PM
 Adding data to Business Analyst
IN THIS CHAPTER
• Adding data to your map
• Add customers/stores—tabular
data
• Add customers/stores—map ready
• Create empty customer/store layer
• Enter addresses manually
• Add customers/stores–x,y data
• Analysis layer setup
• Adding business listings
• Import Business Analyst datapack
• Setting field visibility
• Manage existing customers/stores
• Substitute your own terms for
customers and stores
Ch05.pmd 89
5
In the previous chapters, you learned how to create a study area. This
chapter shows you how to add your own data, such as customers, stores,
other points, image files, and street files, to your study area using the
Customer Setup and Store Setup wizards.
The Customer Setup and Store Setup wizards have two purposes—the first
is to allow you to convert tabular data (.dbf, .txt, or relational database
management system [RDBMS] format) to points on a map or geocode them
using a geocoding engine by ESRI. If you’ve already been
working in ArcGIS and have a shapefile of your points, you can use the
wizard to add the shapefile to the map. The second purpose is to identify the
layer as a customer or store layer. Any wizards that need customer or store
information for analysis will look first at the layers you’ve identified as your
customer or store layers.
You don’t have to use the words customers and stores to describe your
data. You can set Business Analyst to use the terms that best fit your
business on all the wizards—for example, representatives and contacts,
clubs and members, agents and prospects, or doctors and patients.
89
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 Adding data to your map
You can add tabular data of your customers and stores to your the database to the map by latitude-longitude. You can then step
map. The Customer Setup and Store Setup wizards geocode your through either the Customer Setup or Store Setup wizard using
data and place it as points on your map. Whenever data is added the Map-ready data option.
to your map, it will be associated with the analysis extent that’s Geocoding by ZIP Code places the customer or store point at the
active at the time. If the active analysis extent is a study area, the center point (centroid) of the ZIP Code. Because of this, the point
layer will be added to the group layer of that study area. You can locations are less accurate than geocoding by address, city, and
change the analysis extent at any time using Set Analysis Extent state, which give an address range. However, using address, city,
on the Business Analyst menu. and state can still result in multiple points getting geocoded at
Your tabular data can be in the form of a .dbf file, a comma- or tab- one location because the customer file might contain names of all
delimited .txt file, or an RDBMS. If it’s an RDBMS, you must first the people in a household.
bring the data into ArcGIS before you can set it up with a wizard.
To do this, click the Add Data button , click the Look in drop-
Adding data using the Add Data button on the
down arrow, then click Database Connections. You can then ArcMap toolbar
choose the database connection you want and proceed with the You can use the Add Data button on the ArcMap toolbar to add
wizard to finish adding the database to ArcMap. Only stores that data to your map. Click the Add Data button, browse to the data
fall in your study area will be analyzed if you have set up a study you want to add, then click Add. This will add the data to the map
area using the Create Study Area Wizard and that study area is on the Source tab of the table of contents, but you’ll still have to
set as the analysis extent. geocode the data’s attribute table on the map to make it available
The Customer Setup and Store Setup wizards are identical for this for customer or store setup. This is done using the ArcMap menu
task. The Customer Setup Wizard will be used here to illustrate by clicking Tools, pointing to Geocoding, then clicking Geocode
the steps. Addresses. After geocoding the database, you’ll be able to use it
in either the Customer Setup or Store Setup wizard.
Both the Customer Setup and Store Setup wizards contain the
same geocoding dialog box that will geocode points on the map
by Address/City/State/ZIP Code (optional), Address/ZIP, ZIP, or
ZIP+4. The more information you can provide, the better your
geocoding results will be. If you don’t have addresses in your
database and will be geocoding by ZIP or ZIP+4, click ZIP or
some other database field in the Address drop-down menu and
the ZIP drop-down menu on the geocoding dialog box. If your
database contains latitude-longitude coordinates—this means
the data has already been geocoded or the coordinates have been
obtained using a global positioning system (GPS)—click the
Tools menu on the ArcMap menu and click Add XY data to add

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 Adding customers
from tabular data
to your study area
The following task shows you
how to add customers or stores
to your study areas using the
Customer Setup Wizard. In this
task, you’ll add the customers
to your study area as tabular
data.
Tip
Analysis extent
Confirm that the analysis extent is
set as you want. Any layer added to
the map while an extent is active
will be associated with that analysis
extent.
ADDING DATA TO BUSINESS ANALYST
Ch05.pmd 91
Adding customers to
your study area using
tabular data
1. In ArcMap, open the map to
which you want to add a
customer layer; for example,
start with Business
Analyst.mxd and save it to a
new map document with a
name of your choice.
2. Click the Business Analyst
drop-down menu and click
Customer Setup. The
Customer Setup Wizard
opens. Click Create New
Customer Layer, then click
Next.
3. Click Tabular data, then click
Next. u
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3/14/2007, 3:41 PM
 4. Click In a file on my com-
puter, then click Next.
5. Click the browse button and
navigate to the file on your
computer that contains your
customer data. u

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 6. Click the file that contains the
customer data you want to
use and click Add, then click
Next.
7. In the Address Input Fields
area, click the drop-down
arrows to define your
customers’ locations, then
click Next.
If you don’t have the infor-
mation for a specific field,
click the drop-down arrow
for that field and click
<none>. u

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 Tip
Analyzing customers
It is important to note that for
Business Analyst to analyze your
customers, each one must be
uniquely identified. You need to
have a field in your customer
database that has a unique name
or number for each customer.
94
Ch05.pmd 94
8. Click the first drop-down
menu and click the field that
contains the name of each
customer. Click the second
drop-down menu to choose
the field that uniquely
identifies each store, then
click Next.
9. Type the name of the
customer layer in the text
box, type any comments,
then click Finish. u
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 10. If you’re using the Business
Analyst USA Geocoding
Service, you can geocode
one record at a time, or you
can click Batch to geocode
all records in the database.
Your customer points appear
as a layer in your map. A
shapefile (map-ready)
version of your data is
created and stored in the My
Output Data\Projects\Your
Project\CustLayers folder.

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 Adding stores
from tabular data
to your study area
The following task shows you
how to add stores to your
study area using the Store
Setup Wizard. In this task,
you’ll add the stores to your
study area as tabular data.
1. In ArcMap, open the map to
which you want to add a
store layer (for example,
Business Analyst.mxd).
2. Click the Business Analyst
drop-down menu and click
Store Setup.
3. Click Create New Store
Layer, then click Next.
4. Click Tabular data, then click
Next. u

Tip
Adding Excel tables
You can add Microsoft Excel data
into Business Analyst using the
Store or Customer Setup wizards.
When you locate the .xls file, you
need to add each worksheet tab
individually. After the desired
worksheet is added, the wizard will
walk you through the remaining
setup process.

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 Tip 5. Click In a file on my
computer, then click Next.
Analyzing stores
It is important to note that for 6. Click the browse button to
Business Analyst to analyze your navigate to the file that
stores, each one must be uniquely contains your store data. u
identified. If you don’t have a field
in your database that has a unique
name or number for each store,
Business Analyst can create it
for you.

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 7. In the Add Table For Store
Layer Geocoding dialog box,
click the file that contains
your store data, then click
Add. The file path is entered
in the text box. Click Next to
continue.
8. In the Address Input Fields
dialog box, click the drop-
down arrows to define your
store location, then click Next.
If you don’t have the informa-
tion for a specific field, click
the drop-down arrow for that
field and click <none>. u

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 9. Click the first drop-down
arrow and click the field that
contains the name of each
store. If you don’t have one,
click <none>.
10. If you don’t have a store ID
field, click Create a unique
ID field for me. Business
Analyst automatically names
the field BA_New_ID, but
you can specify another
name. For Business Analyst
to analyze each of your
stores, each one must be
uniquely identified.
11. If you have a store ID field,
click Find the store ID field,
then click the drop-down
arrow to choose it.
12. Type the name of the store
layer in the text box, type
any comments, then click
Finish. Your store points
appear as a layer in your
map. A shapefile (map-
ready) version of your data
is created and stored in the
My OutputData\Projects\Your
Project\StoreLayers folder.

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 Adding customers
or stores from
map-ready data
A shapefile is a type of file
created in ArcGIS that contains
the geographic location of your
customers or stores and the
attributes behind them. In other
words, a shapefile contains the
information needed to place
your points on the map as well
as the data associated with
each point.
If your customers or stores are
in a shapefile, this means
they’ve already been
geocoded—the shapefile just
needs to be added to the study
area and identified as a
customer or store layer.
Shapefiles have a .shp
extension.
Adding customers from
map ready data
1. In ArcMap, open the map
document to which you want
to add customers.
2. Click the Business Analyst
drop-down menu and point to
Set Analysis Extent to verify
your active analysis extent.
Any layers added to the map
will be put in the group layer
associated with this analysis
extent.
3. Click the Business Analyst
drop-down menu and click
Customer Setup.
4. Click Create New Customer
Layer, then click Next. u

Tip
Using the Store and
Customer Setup wizards
for this task
The Customer Setup and Store
Setup wizards are identical for this
task. You can follow the same steps
using the Store Setup Wizard to
accomplish this with a store layer.
This example uses the Customer
Setup Wizard for a customer layer.

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 5. Click Map-ready data, then
click Next.
6. Click In a file on my com-
puter, or In my current map
table of contents, then click
Next. u

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 7. If you selected In a file on my
computer, click the browse
button to navigate to the file
that contains your customer
data, click the file name and
click Add. Click Next to
continue.
8. If you selected In my current
map table of contents, click
the Which layer contains your
customers drop-down menu
to choose a layer, then click
Next.
If the file isn’t in the list, click
Back and click In a file on my
computer. u

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 9. Click the drop-down menu to
choose the field that contains
the name of each customer.
Click the second drop-down
menu to choose the field that
uniquely identifies each store
in the customer layer.
10. Type a name and comments
for your customer layer, then
click Finish.
Your customer points appear
as a layer in your map.

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 Creating an 1. Click the Business Analyst
drop-down menu and click
empty customer Customer Setup.

or store layer 2. Click Create New Customer

Layer, then click Next.
You can use the Customer 3. Click Create an empty layer,
Setup Wizard to build an empty then click Next. u
customer or store layer.
Business Analyst allows you to
set up a layer and define the
field name, field alias, field type,
and precision/scale of the field
if appropriate. You can go back
later and populate the layer with
field values.

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 4. Click the Add button.
The Field Information dialog
box opens. Complete the
following information:
a. Type a name in the Field
Name text box.
b. Type an alias name in the
Alias Name text box
(optional).
c. Click the drop-down
menu and click a Field
Type.
d. Type a number in the
Precision text box.
e. Click OK.
If you want to remove a field,
click the field and click
Remove. To make changes to
a field, click the field and
click Edit, make any neces-
sary edits, then click OK. To
remove all the fields in the
list, click Remove All.
When you’re finished adding
fields, click Next.
5. Click the drop-down menu
and click a store name field
from the list.
6. Click the second drop-down
menu and click the field used
to uniquely identify each
store, then click Next. u

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 7. Type a customer layer name
in the text box, type any
comments, then click Finish.
Your new customer layer is
added to the table of
contents.

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 Entering 1. Click the Business Analyst
drop-down menu and click
customer or store Customer Setup.

addresses 2. Click Create New Customer

Layer, then click Next.
manually 3. Click Enter customers’
If you don’t have a customer or addresses, then click Next. u
store database, you can use the
Business Analyst Customer
Setup Wizard to enter customer
or store addresses manually
and build your own address
table. The table of addresses
will be set up for use in Busi-
ness Analyst and will be added
as a layer to the map.

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 4. Click the Add button.
The Geocode one address
dialog box opens.
Complete the following
information:
a. Type an address in the
Address text box.
b. Type a city in the City text
box.
c. Type a state in the State
text box.
d. Type a Zip Code in the Zip
code text box.
e. Optionally, type a name in
the Optional name for the
site text box and click OK.
If you want to remove an
address, click the address
and click Remove. To make
changes to an address, click
the address and click Edit,
make any necessary edits,
then click OK. To remove all
addresses, click Remove All.
When you’re finished adding
addresses, click Next.
5. Type a customer layer name
in the text box, type any
comments, then click Finish.

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 Adding customer 1. Click the Business Analyst
drop-down menu and click
or store data Customer Setup.

containing x,y 2. Click Create New Customer

Layer, then click Next.
coordinates 3. Click XY/GPS data, then click
Business Analyst provides the Next.
ability to add stores or custom- 4. Click In a file on my com-
ers to the map when you have a puter, then click Next. u
table of x,y coordinates
(latitude–longitude). This
enables you to use a table
created with output from a GPS
device or from sources provid-
ing location information in x,y
format. Your x,y coordinates
must appear in decimal degrees.

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 5. Click the browse button and
navigate to the file that
contains your customers.
6. Click the drop-down menu
and click the field that
contains the latitude of each
customer.
Click the second drop-down
menu and click the field that
contains the longitude of
each customer, then click
Next. u

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 7. Click the drop-down menu
and click the field that
contains the name of each
customer.
Click the second drop-down
menu and click the field that
uniquely identifies each store
in the customer layer, then
click Next.
8. Type a name for the cus-
tomer layer in the text box,
type any comments, then
click Finish.

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 Analysis layer 1. Click the Business Analyst
drop-down menu and click
setup Data > Analysis Layer Setup.
The Analysis Layer Setup
Business Analyst provides a
Wizard opens.
powerful tool for you to set up
a layer you’ve added to your 2. Click Create new Business
table of contents so it can be Analyst datasource (BDS)
used in analysis. All layers that and click the browse button,
come with Business Analyst are then navigate to the folder
already set up for you. How- where you want to save the
ever, you can revise setup on new BDS file. Type a name
these or any other layer on your for the file and click Save.
map by using the Analysis Or click Open and edit an
Layer Setup Wizard. existing Business Analyst
Analysis layer setup is often datasource and click the
used for customer or store browse button to navigate to
layers but can be used for any the file, then click Next. u
layer, including point and
polygon layers. An example of
use is setting up your sales
data for analysis after joining it
to a geography polygon using
spatial overlay. You can also
use your own demographic
data, estimates, projections,
business statistics, or consumer
expenditure information.
If you are setting up a point
layer, you can choose the
variable aggregation method
and whether to weight the
variable during analysis. Setting
up a geographic layer (polygon)
also offers a choice of
apportionment method.

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 Field descriptions
Variable: Shows all variables
you have selected for setup.
Aggregation method: Combines
variable values. The options are
to sum the value; average the
values; use the min value; use
the max value; or calculate the
median, standard deviation, or
variance.
Weight: Weight the variable
based on another variable; that
is, in the Block Group layer, you
could choose to weight
consumer expenditures on
furniture by 2003 Total House-
holds. This would provide you
with the amount spent per
household on furniture in a
trade area.
Apportionment method: Use in
apportioning a variable to a
portion of geography; when an
analysis cuts across a geogra-
phy, the analysis includes only
the value of the variable that
falls inside the analysis area.
Depending on the variable, you
have the choice of apportioning
by AREA or one of the three
primary demographics at the
block point level (Population,
Households, or Housing units).
ADDING DATA TO BUSINESS ANALYST
Ch05.pmd 113
3. Click the drop-down menu
and click the boundary layer
to which you want to join
attributes.
4. Click the second drop-down
menu and click the unique ID
field for the boundaries.
5. Add your own attributes to
the BDS dataset. Click the
Add button and the Add
Additional Table dialog box
opens. Click the first drop-
down menu and click the
layer or table that you want to
add to the BDS layer. Click
the second drop-down menu
and click the field that
uniquely identifies the
feature in the main layer,
then click OK.
6. Click Store full path names or
Store relative path names to
define how the paths should
be stored in the new data-
base, then click Next. u
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3/14/2007, 3:41 PM
 Tip
Layer variables
The Analysis Layer Setup dialog
box defines how layer variables
will be treated during an analysis.
You can easily resize the box by
clicking and dragging its corners.
8. Click New to create a new
114
Ch05.pmd 114
7. Click the fields you want to
add to the new BDS layer
from the column on the left.
This column lists all available
fields. Click the Right arrow
button to move a field over to
the right column. Click the
double Right arrow button to
move all the fields to the right
column. When you’re finished
adding fields, click Next.
calculated field. Type the field
name and field alias in the
text boxes, then click Save.
Once you save a newly
created field, you can add
more new fields if you
choose. When you’re fin-
ished, click Next. u
USING ARCGIS BUSINESS ANALYST
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 9. A table displays, which
defines the aggregation
method for each of the
variables in the layer. Click
the field in the Weight
column and click the drop-
down arrow to choose the
weight you want to use
(optional), then click Finish.
Your analysis layer is set up.
You should always weight
data on individuals (per
capita income, median age,
and so on) by population and
weight data on households
(average household size,
median household income,
and so on) by households.

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 Adding business
listings
Business Analyst provides
access to the infoUSA database
of 12 million U.S. businesses. It
can be used to identify custom-
ers or competitors and includes
data by industry, company
name, location, sales volume,
and number of employees.
Tip
Restricting the Business
Analyst search
You can further limit the search by
using the Business Name, Size of
Business (Sales/Employee), or
Corporate Information (Type of
Site/Franchise) options. The more
categories you use, the narrower
your search will be.
1. Click the Business Analyst
toolbar, click Data, then click
Add Business Listings.
The Add Business Listings
dialog box opens.
2. Define the business for
which you want to search.
3. Type a name in the text box
in the far right corner.
4. For the Type of Business
(SIC) field, click Select and
the Select Business Name
dialog box opens. Type the
business name and click
Add. When you’re finished
adding business names,
click OK. u

Tip
The Identify Business tool
Once your business layer is added
to the map, you can use the Identify
Business tool on the Business
Analyst toolbar. Simply click the
tool and click the business point on
the map to show address, telephone
number, sales volume, and
employee range for that individual
business.

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 Tip
Selecting Location
When you type the first letters of the
state abbreviation and city in the
text boxes, the state and city lists
jump to the letters you entered.
6. Click OK and you are
7. To select the Type of Busi-
8. Click Finish.
ADDING DATA TO BUSINESS ANALYST
Ch05.pmd 117
5. For the Location field, click
Select. The Select Location
dialog box opens. Click
Select geographic search
criteria, then type the state
abbreviation and city in the
State Abbr and City text
fields. If you know the ZIP
Code, you can type it in
the ZIP Code text box.
returned to the main Add
Business Listings dialog box.
ness (SIC), click Select and
the Business Type Dialog
box opens.
In the Key Words text box,
type “hardware”. The Code
and Description lists jump to
the code and descriptions
that match what you entered.
Click 5251 HARDWARE
STORES. You can also type
the SIC code in the SIC
Codes text box. Click OK.
Your selections are displayed
on the map and added to the
TOC as the Business layer.
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3/14/2007, 3:41 PM
 Importing a
Business Analyst
add-on datapack
ESRI offers additional data
packs for Business Analyst that
meet the needs of specific
industries. The Import Data
Pack Wizard will import and set
up those datasets for use in
Business Analyst.
118
Ch05.pmd 118
1. Click the Business Analyst
drop-down menu and click
Data, then click Import Add-
on Data Pack.
The Import Data Pack Wizard
opens.
2. Click the browse button to
navigate to the data pack
folder.
3. To Add data layers to your
map, check the Add data
layers to the map check box.
To copy to your local direc-
tory, check the Copy data to
local directory check box,
then click the browse button
to navigate to the location
you want to copy the data to.
4. Click Finish.
The data will now be
available for use in Business
Analyst.
USING ARCGIS BUSINESS ANALYST
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 Setting field
visibility
You can control which fields are
visible in each layer using the
Fields Visibility tab on the
Layer Properties dialog box.
The field settings you choose
will be used in any analysis
performed on the layer.
ADDING DATA TO BUSINESS ANALYST
Ch05.pmd 119
1. In the table of contents, right-
click the layer for which you
want to change the visible
fields and click Properties.
2. Click the Fields Visibility tab
and use the arrow keys to
move fields to the Visible
fields or Invisible fields
column.
3. You have the option of saving
the Visible fields list. This is
used when you have several
analyses to perform that may
use different field listings. You
can easily switch between
the visible fields by clicking
one from the Get Visible
Fields From Saved List drop-
down menu.
4. If you prefer to make your
field selection from a tree
structure of available field
categories rather than from a
list, click the Tree Structure
button. You can then browse
the categories to find your
desired fields.
5. Click Apply, then click OK to
activate your selection.
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 Managing existing
customer or store
layers
Business Analyst allows you to
manage the customer and store
layers you have created. This
allows you to perform the
following operations on any of
your previously created
customer or store layers:
• Opening a layer that is not
present in the current map
document
• Modifying a layer by
stepping through the
Customer Setup and Store
Setup Wizard choices made
when the layer was created
• Deleting one or more layers
• Renaming a layer or editing
comments
• Reviewing geocoding of the
layer points on the map
Tip
Using the Store Setup or
Customer Setup wizards
for this task
The Customer Setup and Store
Setup wizards are identical for this
task. This example uses the
Customer Setup Wizard. You can
follow the same steps using the
Store Setup Wizard to accomplish
this with a store layer.
120
Ch05.pmd 120
1. Click the Business Analyst
drop-down menu and click
Customer Setup.
The Customer Setup Wizard
opens.
2. Click Manage Existing
Customer Layer(s).
3. Click Open Customer
Layer(s), Modify Customer
Layer, Delete Customer
Layer(s), Rename or Edit
Comments, Review
Geocoding, or Assign
Customers to Stores.
4. This step depends on which
option you chose in step 3.
If you chose Open Customer
Layer(s), click the layer you
want to open, then click
Finish and the layer opens.
For all the other options,
make your selections and
continue through the
Customer Setup Wizard as
you have in the previous
chapters.
USING ARCGIS BUSINESS ANALYST
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 Substituting your 1. Click the Business Analyst
drop-down menu and click
own terms for Preferences.

customers and The Preferences dialog box

stores
You can substitute other terms
for customers and stores using
the Preferences wizard, for
example, banks and clients,
hospitals and patients, or
preschools and children—
whatever fits your line of work.
The Preferences wizard custom-
izes Business Analyst for you,
using the terms you choose on
all the wizard panels.
opens.
2. Click the General tab, then
type the term you want to use
to refer to customers in the
text box.
3. Type the term you want to
use to refer to stores in the
text box.
4. Click OK.
Your preferences will be
used throughout the
Business Analyst wizards.

Tip
Using the Preferences
dialog box
The Preferences dialog box allows
you to change more than how you
refer to customers and stores. You
can also adjust data formats,
geocoding services, and dataset
locations (using the Data tab) and
specify how rings and group layers
are displayed and named (using the
Analysis tab). The General tab
allows you to specify the location of
the output folder to store data,
analyses, and study areas for your
maps as well as turn on the
automatic spatial reference
adjustment. This feature changes
the projection as you zoom in to
keep the northerly direction
oriented toward the top of your
map.

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Ch05.pmd 122 3/14/2007, 3:41 PM
 Trade areas—customer data required
IN THIS CHAPTER
6
This chapter describes creation of trade areas when you have customer
data available. Use of customer data in creation of your trade areas is
• Customer-derived areas preferable in most cases.
• Market penetration ArcGIS Business Analyst has four methods of trade area creation using
customer data.
• Trade area penetration
• Customer-derived areas will create trade areas based on location of your
• Distance decay areas customers.
• Market penetration compares the number of customers you have within a
geographic area with the total population in that area.
• A Trade Area Penetration report compares the number of customers
within a trade area to a base value, such as total households.
• Distance decay areas calculate the market penetration values for a
number of ring or drive time areas around your stores. The Distance
Decay report illustrates how far your customers are traveling to a store
compared with a base value, such as population or households.

123

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 Customer-derived
areas
A customer-derived area is a
method to create customer data
required trade areas. From the
Trade Area Wizard, choose
Customer Derived Areas to
create a trade area based on the
location of your customers.
Creating a trade area using
customer data allows you to
encompass your customers and
Creating a trade area
using customer-derived
areas
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade Area,
then click Next.
3. Click Customer Data
Required, then click Next. u

analyze the corresponding

markets.
Note: Before creating a customer
derived trade area, use the Study
Area Wizard to create a study
area that encompasses all of your
customers. This defined extent
will ensure your entire customer
base is used in the analysis for
best results.

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 4. Determine how to create the
trade area, click Customer
Derived Areas, then click
Next.
5. Click the drop-down menu
and click the layer that
contains your stores.
6. Click the second drop-down
menu and click the field that
contains the store ID.
7. Determine how many stores
you want to use: All stores,
Selected stores, or Single
store. If you choose Single
store, click By ID or By name
and choose an option from
the respective drop-down
menu. Click Next to
continue. u

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 8. Click the drop-down menu
and click the layer that
contains your customers.
9. For Store Assignment, click
Choose an existing field, By
closest store location, or By
trade area, then click Next.
10. To exclude customers
outside a certain distance,
click Exclude outlying
customers and set the cutoff
distance in units, then click
Next.
11. Determine how to calculate
the percentages: By the
number of customers or By a
weighted value. If you
choose By a weighted value,
click the drop-down menu
and choose a field. This
weighted field could be
customer sales figures in
your customer database. u

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 Tip 12. Choose how many trade
areas you want to create for
Hull type
each of your stores: 1, 2, 3,
The hull type determines the shape
or More.
of the trade area that includes your
customers. 13. Enter a percentage for each
trade area in the text fields.
You have the option to use
the centroid of the store’s
customers, rather than the
physical store location. This
option is rarely used but is
available. Click Next.
14. Choose the hull type you
want to create: Simple
(Convex), Amoeba, De-
tailed, or Detailed With
Smoothing.
15. If you want to create donut
trade areas, check the
Create donut trade areas
check box, then click Next.
By default, the trade areas
will be overlapping; that is, a
60 percent trade area will
include all customers in the
40 percent trade area. Donut
trade areas will only contain
the customers outside
smaller rings. For example,
in 40-60-80 percent donut
trade areas, the 60 percent
donut would only include
customers outside the 40
percent area and inside the
80 percent area. u

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 16. Type a name for the new
trade area in the text box
and enter any comments.
17. You have the option of
creating a variety of reports
on the trade areas. Check
Create Reports if you want to
run reports on the data. You
also have the option of
deferring the reports to the
Batch Queue to run later.
18. Click Finish.

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 Market Creating a trade area
using market penetration
penetration
1. Click the Business Analyst
Calculates the market drop-down menu and click
penetration based on the Trade Area.
number of customers within an
The Trade Area Wizard
area compared to the total opens.
population.
2. Click Create New Trade
Area, then click Next.
3. Click Customer Data Re-
quired, then click Next. u

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 4. Determine how to create the
trade area, click Market
Penetration, then click Next.
5. Click the drop-down menu
and click the layer that
contains your customers. If
you have selected certain
customers on the map or in
the customer layer attribute
table, you will have an option
to analyze selected
customers only.
6. If you want to calculate
market penetration values
using a weight field instead
of customer count, click Use
a weight field in customer
layer, click the drop-down
menu and choose a weight
field, then click Next.
7. Click the drop-down menu to
choose the base layer to use
for calculating market
penetration. In most cases
you will use one of the
Business Analyst data layers
(BDS) that contains demo-
graphic information. To ease
selection of one of the BDS
layers from all layers on the
map, you can check Only
show Business Analyst data
layers (BDS).
8. If you selected certain
geographic areas on the
map, an option will be
available to use selected
areas only. u

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 9. Click the second drop-down
menu to choose the ID field,
then click the third drop-
down menu to choose the
Name field. Click Next to
continue.
10. Choose the source of total
market counts by selecting
one of the following:
• In the layer attribute
table—If you choose this
option, click the drop-
down menu and make a
selection.
• Calculate using
Business Analyst data—If
you choose this option,
click the drop-down
menus to make your
selections.
11. Click Next. u

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 12. The various option buttons
allow you to choose a
demographic layer to
summarize, the report export
format, the export path, and
a format for exporting the
raw data to a table for further
analysis. When you’re
finished making your
selections, click OK.
13. Click Generate Report, enter
the report name and,
optionally, the report title,
and check to View report,
Export report, or Print report.
Type a name for the trade
area and any comments,
then click Finish.

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 Trade area
penetration
Trade area penetration
calculates the penetration for
each trade area. A Trade Area
Penetration Report is based on
the number of customers within
a trade area compared to a base
value, such as total
households.
TRADE AREAS—CUSTOMER DATA REQUIRED
Ch06.pmd 133
Creating a trade area
using trade area
penetration
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade
Area, then click Next.
3. Click Customer Data Re-
quired, then click Next. u
133
3/14/2007, 3:47 PM
 4. Determine how to create
the trade area, click Trade
Area Penetration, then
click Next.
5. Click the drop-down
menu and click the layer
that contains your
customers.
6. If you want to calculate
market penetration values
using a weight field
instead of customer count,
click Use a weight field in
customer layer, click the
drop-down menu and
choose a weight field,
then click Next. u

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 7. Click the drop-down menu to
choose the trade area to use
for market penetration, click
the second drop-down menu
to choose the trade area ID
field, then click the third
drop-down menu to choose
the trade area Name field.
Click Next to continue.
8. Click the drop-down menu to
choose the Store ID field in
your customer layer, click the
second drop-down menu
and choose the Store ID
field in the Trade Area layer,
then click Next. u

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 9. Choose the source of total
market counts by selecting
one of the following:
• In the layer attribute
table—If you choose this
option, click the drop-down
menu and make a
selection.
• Calculate using Business
Analyst data—If you
choose this option, click
the drop-down menus to
make your selections.
10. Click Next.
11. Click Generate Report, enter
the report name and,
optionally, the report title,
and check to View report,
Export report, or Print report.
Type a name for the trade
area and any comments. u

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 12. The various option buttons
allow you to choose a
demographic layer to
summarize, the report export
format, the export path, and
a format for exporting the
raw data to a table for further
analysis. When you’re
finished making your
selections, click OK.

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 Distance decay Creating a trade area
using distance decay
areas areas
Individual locations or pieces 1. Click the Business Analyst
of geography often have drop-down menu and click
greater importance or more Trade Area.
weight if they are closer to an
area of examination. For The Trade Area Wizard
example, customers who live in opens.
a ZIP Code adjacent to a 2. Click Create New Trade
client’s store are more likely to Area, then click Next.
visit the store than potential
3. Click Customer Data Re-
customers who live in a ZIP
quired, then click Next. u
Code five miles away. You may
want to create distance decay
trade areas that reflect the
inverse relationship between
distance and propensity to visit
a location. Specifically, as
distance increases, the geo-
graphic importance of a piece of
geography within a study area
diminishes.
In principle, distance decay
trade areas are no different than
a simple weighted area.
Business Analyst distance
decay functionality provides
the mechanism to create these
areas based on the geographic
principle of distance decay: The
propensity to visit a store
decreases as the distance to the
store increases. Or, people are
more likely to visit a store if
they are closer to the location. u

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 Distance decay area calculates
market penetration values for a
number of ring or drive-time
polygons around your stores.
The Distance Decay Report
shows how far your customers
are traveling to a store in
comparison to a base value,
such as population.
TRADE AREAS—CUSTOMER DATA REQUIRED
Ch06.pmd 139
4. Determine how to create the
trade area, click Distance
Decay Areas, then click Next.
5. Click the drop-down menu
and click the layer that
contains your stores.
6. Determine how many stores
you want to use: All stores,
Selected stores, or Single
store, then click Next. u
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3/14/2007, 3:47 PM
 Tip
Simple ring
Simple ring trade areas are created
around your stores using a
specified radius.
Tip
Drive time
Drive-time trade areas are created
around your stores, including all
areas accessible along the street
network given your maximum
travel time or distance.
7. Click Simple Ring or Drive
Time to determine how you
want to define the distance
decay areas around your
stores, then click Next.
a. If you choose Simple Ring,
do the following:
• Choose the number of
rings you want to create
for each store.
• Choose the size of the
rings you want to create
for each store.
• Click the Distance Units
drop-down menu to
choose a distance from
the list.
• Click Next.
b. If you choose Drive Time,
do the following:
• Choose how many drive-
time trade areas you want
to create.
• Choose the size of the
rings you want to create
for each store.
• Click the Measure Units
drop-down menu to
choose a time or distance
from the list.
• Click Next.

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 8. Click the drop-down menu to
choose the layer that
contains your customers. If
you want to calculate market
penetration values using a
weight field instead of
customer count, click Use a
weight field in customer
layer, click the drop-down
menu and choose a weight
field, then click Next.
9. Click the drop-down menu to
choose the store ID field in
your customer layer. u

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 10. To determine where the total
market counts are for each
area, choose one of the
following:
• In the layer attribute
table—If you choose this
option, click the drop-down
menu and make a
selection.
• Calculate using Business
Analyst data—If you
choose this option, click
the drop-down menus to
make your selections.
11. Click Generate Report, enter
the report name and,
optionally, the report title and
check to View report, Export
report, or Print report. Type a
name for the trade area and
any comments and click
Finish.

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 Trade areas—no customer data required
IN THIS CHAPTER
• Simple rings
• Nonoverlapping rings
• Data-driven rings
• Drive-time polygons
• Threshold rings
• Equal competition (Thiessen)
• Huff equal probability trade areas
• Grid areas
• Standard Levels of Geography
• Sub-geography
7
Customer-based market analysis requires geocoded customer data. Often
such data is not available—your business may not collect customer
addresses, it may be too expensive to acquire customer locations from
credit card services, or you may have no customer data if your company is
expanding into a new area. Other methods of analysis are available to help
you visualize, analyze, and evaluate business locations. These methods all
use existing or proposed store locations instead of customer points. Only
stores that fall within your study area will be analyzed.
Geography level-based trade areas are created using standard geography.
For example, you can create trade areas from a list of geographies, such as
states, counties, or ZIP Codes. You can import your own list, choose from
a Business Analyst list, or make a selection from a map of geographies.
You also have the option of creating trade areas by subgeography. This is
creating trade areas for each standard geography boundary inside another
layer boundary, such as drive-time trade area.
Once you have created trade areas using either of these geography
methods, you can group geographies into larger geographies (for instance,
territories) using the Business Analyst Dissolve by Attribute tool.

143

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 Simple rings Creating a no customer
data required trade area
Ring studies are the simplest using simple rings
and most widely used type of
market area analysis. The 1. Click the Business Analyst
concept of a simple ring is drop-down menu and click
easily understood. Since a Trade Area.
business person might not The Trade Area Wizard
know what shape the market or opens.
service area should be, a simple
circle is used to begin the 2. Click Create New Trade Area,
process. Many preliminary then click Next.
market studies begin with an 3. Click No Customer Data
analysis of one-, three-, and Required as the type of trade
five-mile rings, but this may area you want to create, then
vary from retailer to retailer. click Next. u
Once the rings have been
generated, the underlying
demographics are extracted.
What is the total population
within one mile? How many
households are within three
miles? What is the average
household income within five
miles? These are all questions
that ring studies can quickly
and easily answer.
Simple ring studies are gener-
ally used to generate a rough
visualization of the market areas
around points. Suppose a
company is expanding into a
new market and plans on
leasing space in the major
shopping centers in that
market. The company may
begin the analysis process with
a series of ring studies around
the major malls. The character-
istics of these rings can be u

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 compared to similar rings
around successful existing
operations.
Other examples of simple ring
store-based analysis include:
• A commercial real estate
company calculates underly-
ing demographics for five-
and ten-mile rings around
each available property as
part of a standard report.
• A large HMO provides a
count of the number of
employees within three, five,
and ten miles of each of its
branch clinics as part of its
proposal to potential clients.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 145
4. Determine how to create the
trade area; click Simple
Rings (overlapped and
donut), then click Next.
5. Click the drop-down menu
and click the layer that
contains your stores.
6. Click the second drop-down
menu and click the field that
contains the store ID.
7. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and choose an option
from the respective drop-
down menu. Click Next to
continue. u
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3/14/2007, 3:55 PM
 8. Choose how many rings you
want to create for each store,
1, 2, 3, or More, then type a
value for each ring in the text
boxes.
9. Click the Distance Units
drop-down menu to choose a
distance from the list.
10. To define the trade area,
click either Remove Overlap
or Donut, then click Next. By
default, Business Analyst
defines rings using the
radius you choose, measur-
ing from the center outward.
If you check Donut, Business
Analyst calculates values
between rings, for example,
Center to Ring 1, Ring 1 to
Ring 2, Ring 2 to Ring 3, and
so on.
If you check Remove
Overlap and have rings from
two different stores that
intersect, Business Analyst
will calculate a straight-line
boundary between the
intersect points of the two
rings.
11. Type a name for the new
trade area in the text box
and type any comments,
then click Finish.
Your new trade area is
created and displayed on
the map.

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 Nonoverlapping
rings
Nonoverlapping rings are trade
areas created around your
stores using a radius that you
specify.
Alternatively, you can calculate
the rings based on some field
value in your store layer. Any
rings that intersect will have the
overlap removed. Business
Analyst does this by
calculating a straight-line
boundary between the points of
intersection.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 147
Creating a no customer
data required trade area
using nonoverlapping
rings
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade
Area, then click Next.
3. Click No Customer Data
Required as the type of trade
area you want to create, then
click Next. u
147
3/14/2007, 3:55 PM
 Tip
Calculating Statistics
Click the Update Stats button to
have Business Analyst calculate
statistics for all values in the
selected field. These statistics can
be helpful in choosing the value in
the next box that will equate with
one distance unit. For example, if
you choose store sales, a store with
more sales would have a larger
ring around it. You can determine
the area of the rings on the map by
changing the value that equates to
one distance unit.
148
Ch07.pmd 148
4. Determine how to create the
trade area; click Non-
overlapped Rings, then click
Next.
5. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
and click the field that
contains the store ID.
6. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and click an option
from the respective drop-
down menu, then click
Next. u
USING ARCGIS BUSINESS ANALYST
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 7. Choose the ring sizes:
Click All rings will have the
same ring size, then type a
number for the distance. To
change the distance units,
click the Distance Units drop-
down menu and choose from
the list. Or click Ring size will
depend on a field value and
click the drop-down menu to
choose which field deter-
mines the size of the trade
area. Type a number in the
text box: What value in this
field is proportional to one
distance unit?
8. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Data-driven rings Creating a no customer
data required trade area
You can generate data-driven using data-driven rings
rings in store market analysis.
The size of the ring is deter- 1. Click the Business Analyst
mined by some numeric value in drop-down menu and click
the store data, such as sales or Trade Area.
store size (square feet). For The Trade Area Wizard
health care, for example, it could opens.
be number of hospital beds,
while for media it might be 2. Click Create New Trade Area,
signal strength for radio then click Next.
stations. The greater the data 3. Click No Customer Data
value, the larger the size of the Required as the type of trade
ring. This analysis is primarily area you want to create, then
used to look at your competi- click Next. u
tion, but it can also be used to
analyze potential new locations.
A shopping mall with 1,000,000
square feet should be able to
attract customers over a larger
distance than one with 250,000
square feet. Data-driven rings
can give an analyst a rough
idea of the drawing radius of
shopping centers. The esti-
mated population can determine
if the center’s service area
meets a certain threshold
population required for a
business. Other examples of
data-driven rings include:
• The developer of small
shopping centers uses rings
based on gross leasable area
(GLA) to analyze the effects
of competing centers. u

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 • Store managers can use 4. Determine how to create the
rings driven by total sales to trade area; click Data Driven
justify higher real estate Rings, then click Next.
costs in larger power 5. Click the drop-down menu
centers. and click the layer that
Data-driven rings can be contains your stores. Click
created around your stores the second drop-down menu
when you specify a value in the and click the field that
store data. This value is set contains the store ID.
equal to a distance and the 6. Determine how many stores
rings are calculated in this way. you want to use by clicking
This is typically used to create All stores, Selected stores, or
radius trade areas for competi- Single store. If you choose
tors so a store owner can see if Single store, click By ID or By
a store is being cannibalized by name and choose an option
the competition. It can also be from the respective drop-
used to look for gaps in the down menu. Click Next to
market area. continue. u
To determine what value you
want to use, choose the field
that determines the size of the
trade area. If you already know
what value you want to use,
type it in the text box. If you
aren’t sure what value you want
to use, click Field statistic. The
minimum, maximum, and mean
values appear on the left side of
the wizard.
If you choose your stores’ total
sales field and specify $100,000,
for example, to be proportional
to a one-mile ring, then a store
with $200,000 in sales will have
a two-mile ring, a store with
$750,000 will have a 7.5-mile
ring, and so on. This task
guides you through this
process.

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 Tip
Calculating Statistics
Click the Advanced button to have
Business Analyst alter the depen-
dencies on the value that deter-
mines the size of the trade area.
You can use polynominal depen-
dency instead of the linear
approach. By default, the relation-
ship between the size field you
select is linear. You can use the
Advanced setting to equalize the
relationship between the size field
and the area. For instance the area
of the ring can be shown propor-
tional to gross leasable area.
152
Ch07.pmd 152
7. Click the drop-down menu
and click Which field deter-
mines the size of the trade
area, then type a number in
the text box: What value in
this field is proportional to a
one distance unit?
8. Click the Distance Units
drop-down menu and choose
a distance unit from the list.
9. Click the Advanced button to
define a polynomial depen-
dency, then click Next.
10.Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.
USING ARCGIS BUSINESS ANALYST
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 Drive-time Creating a no customer
data required trade area
polygons using drive-time
You can generate drive-time polygons
areas that use actual street 1. Click the Business Analyst
networks and approximated drop-down menu and click
driving times. Equal competition Trade Area.
market areas do not adjust for
the way people actually travel The Trade Area Wizard
on the ground. Equal competi- opens.
tion market areas are based on 2. Click Create New Trade
as-the-crow-flies distances, Area, then click Next. u
while people in the real world
have to use real roads and
streets to get where they want
to go. A two-mile trip might take
five minutes on one road
network and fifteen on another.
Pizza delivery once again
provides a good example for the
use of drive-time polygons. A
company may want to limit
deliveries to a total of 15
minutes. This means that the
delivery limit of each store
might be restricted to eight
minutes (six minutes to the
delivery point, three minutes at
the delivery site, and six
minutes to return).
Overlap can occur. Some chains
have solved this problem by
using equal competition areas
where drive-time overlap occurs
to make each service zone
unique and using the drive
times at the edge of built-up
urban areas to restrict delivery
distances and times. u

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 Other examples of drive-time 3. Click No Customer Data
areas include: Required as the type of trade
area you want to create, then
• Drive time is the defining
click Next.
measure for most urban
travel. Potential customers 4. Determine how to create the
respond much more to a trade area; click Drive Time
location advertised as being Polygons, then click Next. u
within five minutes than one
within two miles.
• Appliance repair operations
use drive-time polygons to
estimate the total length of
service calls.
• Video stores locate stores so
at least some minimum
population is within five
minutes of each store. The
threshold population is also
dependent on the number
and location of competitors
within each drive-time
polygon.
• Drive-time analysis creates
three types of results: drive
time (by actual street
network drive distance),
drive distance, and service
area boundaries.

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 Tip
Using StreetMap Drive
Time
On the Drive Time Polygons menu,
you can choose to use the ESRI
StreetMap drive time engine by
selecting StreetMap from the Drive
Time Polygons drop-down menu.
Network Analyst vs.
StreetMap drive times
As a default, Business Analyst uses
the ArcGIS Network Analyst
extension to perform drive time
analysis. You also have the option
to use StreetMap to calculate drive
times. Using the StreetMap option
may return more generalized
polygons, but can be used for large
datasets where accuracy is less a
factor. StreetMap drive times are
generally created much faster and
can be used when estimating travel
time or distance for a large number
of store points.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 155
5. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
and click the field that
contains the store ID.
6. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and click an option
from the respective drop-
down menu. Click Next to
continue.
7. Choose how many drive-time
trade areas you want to
create, 1, 2, 3, or More, then
type a value for each drive
time in the text boxes.
8. Click the Measure Units
drop-down menu and click
the units you want to use.
Under Traversed streets,
check the box if you want to
Display traversed streets as
a new layer.
By default, drive-time rings
are calculated from the
center outward, for example,
0 to 1, 0 to 3, and 0 to 5
miles. You can choose Donut,
which will summarize values
between rings, for example,
0 to 1, 1 to 3, and 3 to 5
miles. u
155
3/14/2007, 3:55 PM
 Tip
Choosing Measure Units
On the Measure Units drop-down
menu, you can choose time or
distance. If you choose a distance,
decimal entries are acceptable.
156
Ch07.pmd 156
9. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.
USING ARCGIS BUSINESS ANALYST
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 Threshold rings
Threshold ring trade areas
create rings around your stores.
The radius of the ring is
determined by expanding out
from the store location until it
meets your criteria.
You can choose any layer and
field in that layer to use in
creating the rings. Typically, the
Block Points layer is used. It
contains 2000 Population, 2000
Households, and 2000 Housing
Units and Business Counts.
You can also use any of the
ESRI Community demographic
data from the Block Group layer.
Business Analyst automatically
uses block-point data aggrega-
tion to more accurately define
the threshold rings.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 157
Creating a no customer
data required trade area
using threshold rings
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade
Area, then click Next.
3. Click No Customer Data
Required as the type of trade
area you want to create, then
click Next.
4. Determine how to create the
trade area; click Threshold
Rings, then click Next. u
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3/14/2007, 3:55 PM
 5. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
and click the field that
contains the store ID.
6. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and click an option
from the respective drop-
down menu. Click Next to
continue.
7. Click the drop-down menu
and click the layer that
contains the Threshold field
for summarization. Note that
you can choose to show only
the Business Analyst data
layers. Click the second drop-
down menu and click the
field to aggregate, then click
Next. u

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 8. Choose how many rings you
want to create, 1, 2, 3, or
More, then type a value for
each ring in the text boxes.
By default, all rings are
summarized from the center
point outward. You can click
Donut, which will summarize
values between rings, for
example, 0 to ring 1,
between ring 1 and ring 2,
between ring 2 and ring 3,
and so on.
9. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Equal Creating a no customer
data required trade area
competition using equal competition
(Thiessen) (Thiessen)
Another type of store-based 1. Click the Business Analyst
market area is called equal drop-down menu and click
competition (also called Trade Area.
Thiessen polygons). This type The Trade Area Wizard
of trade area assumes that opens.
consumers will travel to the
2. Click Create New Trade Area,
closest store or facility. A line is
then click Next.
drawn exactly halfway between
two competing centers. 3. Click No Customer Data
Required as the type of trade
Equal competition areas can
area you want to create, then
provide a better understanding
click Next. u
of the natural market areas of a
facility. This is the best type of
market area to use for store-
specific direct mail. Each
customer gets advertising
geared toward a specific store
location. There are no multiple
mailings, and the customer is
directed to the nearest store.
This lowers direct mail costs
and generally increases the hit
rate.
Home delivery pizza stores have
used equal competition areas to
define delivery markets. The
order is directed to the outlet
closest to the customer, and
there is no competing overlap.
All locations in each equal
competition area can be
geocoded by street address.
Each incoming call can be u

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 automatically routed to the
proper store by asking the
customer for a street address.
Equal competition areas provide
accurate estimates of store
trade areas for operations
without customer records. The
corners of multiple equal
competition areas are often
good locations for new store
expansion.
Available area is apportioned
into trade areas for each store
by creating boundary lines
equidistant from each of the
store locations.
Equal competition (Thiessen
polygons) are created by
drawing equilibrium lines
between each store and all
neighboring stores. These trade
areas are used to assign areas
of competitive advantage when
you do not have customer data.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 161
4. Determine how to create the
trade area; click Equal
Competition (Thiessen), then
click Next.
5. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
and click the field that
contains the store ID.
6. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and click an option
from the respective drop-
down menu. Click Next to
continue. u
161
3/14/2007, 3:55 PM
 7. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Huff equal
probability trade
areas
Huff equal probability trade
areas are similar to equal
competition areas, but the
boundaries between the stores
are weighted based on one or
more variables. These weights
can be calculated from results
of a Huff model you have run,
or you can enter the parameters
manually using predictor
variables in your store layer.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 163
Creating a no customer
data required trade area
using Huff equal
probability
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade
Area, then click Next.
3. Click No Customer Data
Required as the type of trade
area you want to create, then
click Next. u
163
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 4. Determine how to create the
trade area; click Huff Equal
Probability Trade Areas, then
click Next.
5. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
and click the field that
contains the store ID.
6. Determine how many stores
you want to use by clicking
All stores, Selected stores, or
Single store. If you choose
Single store, click By ID or By
name and click an option
from the respective drop-
down menu. Click Next to
continue. u

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 7. Determine how you want to
define the attractiveness of
each store. You can click Use
statistically calibrated
parameters from previous
analysis, then click the drop-
down menu to make a
selection. Alternatively, you
can click Enter parameters
manually, and set the
Predictor Variables using the
plus (+) and minus (-)
buttons, then click Next.
8. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Grid areas
An area of equal-sized grids is
created over the designated
study area. You can create grid
cells based on the current
extent, study area extent, or the
extent of a feature in another
layer. You can append demo-
graphic data to a grid cell to
provide a normalized view of
the data, identifying hot spots
and areas of interest. Hot spot
grid areas appear with promi-
nent red coloring, by default.
166
Ch07.pmd 166
Creating a no customer
data required trade area
using grid areas
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade Area,
then click Next.
3. Click No Customer Data
Required as the type of trade
area you want to create, then
click Next. u
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 4. Determine how to create the
trade area; click Grids, then
click Next.
5. Define the grid extent; click
Use Current Extent, Use
Study Area, Use feature from
a layer, Use selected graphic
polygon, or Use layer extent,
then click Next. u

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 6. Determine the grid cell size
and distance units. Type a
number in the Grid Cell Size
text box and choose distance
units from the Distance Unit
drop-down menu and click
Next.
7. You can add variables from
the summarization layer to
the new grid layer, or you can
skip this step by leaving the
drop-down menu set to
<none>. To add variables
from the summarization layer,
click the Select layer drop-
down menu and click a layer,
then click the Select the
symbolization field drop-
down menu and choose from
the list. u

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 8. To include additional
variables, choose from the
Available variables list, then
click the Add button to add
them to the Selected vari-
ables column. Click Next
when you are finished
adding variables.
9. Type a name for the new
trade area in the text box,
type any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Standard levels
of geography
You create trade areas for a list
of standard geography units,
such as states, counties, tracts,
ZIP Codes, Block Groups, Core
Based Statistical Areas (CBSA)
or Designated Market Areas
(DMA). Individual trade areas
are created for each unique
geography—for example, each
state, each ZIP Code—that you
select.
170
Ch07.pmd 170
Creating a geography
level-based trade area
using standard levels of
geography
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade
Area, then click Next.
3. Click NoCustomer Data
Required as the type of trade
area you want to create, then
click Next.
4. Determine how to create the
trade area, click Standard
Levels of Geography, then
click Next. u
USING ARCGIS BUSINESS ANALYST
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 6. Click the drop-down menu to
choose the level of geogra-
phy to use in creating the
trade area—for example, ZIP
Codes, CBSAs, and so forth.
7. Choose how you want to
select geography units:
Import from a list, Select from
the geography tree, or Select
from the map; then click Next.
8. Depending on which option
you chose in step 7, browse
to select the file containing
geography units, select from
the geography tree, or use
the Select Features tool on
the map, then click Next.
9. Type a name for the new
trade area in the text box and
type any comments, then
click Finish.
Your new trade area layer is
created and displayed on the
map. It contains polygon
areas for each geography. If
you want to separate the
polygons into trade area
layers, you can use the
Business Analyst Dissolve by
Attribute tool.

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 Subgeography
Clicking Sub-geography trade
areas allows you to create trade
areas for each standard
geography boundary inside
another layer boundary, for
example, block groups inside a
drive-time boundary.
172
Ch07.pmd 172
Creating a geography
level-based trade area
using subgeography
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Create New Trade Area,
then click Next.
3. Click NoCustomer Data
Required as the type of trade
area you want to create, then
click Next.
4. Determine how to create the
trade area, click Sub-
geography, then click Next.
5. To define the boundary layer,
click Use Study Area and
click a study area from the
drop-down menu, or click
Use feature from a layer as
the boundary, then choose
the layer from the drop-down
menu. Then, click By ID and
choose from the drop-down
list, or click Use selected
feature and click Next. u
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 Tip
After creating your new layer of
subgeography polygon areas, you
can separate them or group some
of them using the Business Analyst
Dissolve by Attribute tool.
Grouping some of the areas will
require you to edit the layer
attribute table to add a numeric
assignment field. This assignment
field will contain the same numeric
value for trade areas that are to be
grouped together. For more
information see the ‘Adding and
deleting fields in a table’ topic in
the ‘ArcMap—working with tables’
section of the ArcGIS Desktop
Help.
TRADE AREAS—NO CUSTOMER DATA REQUIRED
Ch07.pmd 173
6. To select the subgeography
layer, click From the list of
Business Analyst Data layers
and choose from the drop-
down menu, or click From the
list of all layers and choose
from the drop-down menu.
Click which field uniquely
identifies each area and
Which field contains area
name from the drop-down
menus and click Next.
7. Type a name for the new
trade area in the text box and
type any comments, then
click Finish.
Your new trade area layer is
created and displayed on the
map. It contains polygon
areas for each subgeography
that was inside the boundary.
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Ch07.pmd 174 3/14/2007, 3:55 PM
 Monitor and manage trade areas
IN THIS CHAPTER
8
Monitor Trade Areas allows you to track trade area change or measure
cannibalization.
• Measure cannibalization

• Track trade area change

• Manage existing trade areas

175

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 Measure
cannibalization
Measure Cannibalization
calculates the amount of
overlap between two or more
trade areas.
Creating the Monitor
Trade Areas trade area
using Measure
Cannibalization
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Monitor Trade Areas,
then click next.
3. Determine how to create the
trade area; click Measure
Cannibalization, then click
Next. u

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 5. Click the drop-down menu to
select the trade area. Click
the second drop-down menu
to select the trade area ID
field, click the third drop-
down menu to select the
trade area name field, then
click Next.
6. Click Generate Report, then
type a name in the Report
name text box. Optionally,
specify a report title.
7. Type a name for the new
trade area in the text box and
enter any comments, then
click Finish.
Your new trade area is
created and displayed on the
map.

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 Track trade area
change
Track Trade Area Change is
used primarily to track trade
area change over time. This tool
can also be used to compare
any two overlapping trade
areas.
Creating the Monitor
Trade Areas trade area
using Track Trade Area
Change
1. Click the Business Analyst
drop-down menu and click
Trade Area.
The Trade Area Wizard
opens.
2. Click Monitor Trade Areas,
then click next.
3. Determine how to create the
trade area; click Track Trade
Area Change, then click
Next. u

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 5. Click the drop-down menu to
select the first trade area.
Click the second drop-down
menu to select the trade
area ID field, click the third
drop-down menu to select
the trade area name field,
then click Next.
6. Click the drop-down menu to
select the second trade area.
Note that the first and
second trade areas must be
different. Click the second
drop-down menu to select
the trade area ID field, click
the third drop-down menu to
select the trade area name
field, then click Next. u

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 7. Optionally, you can use the
store layer for each trade
area to calculate an index of
similarity. To do this, click Use
store layer, then click the
drop-down menus to select
the store layer, store ID field
from store layer, and the
matching store ID field in the
trade area layer, then click
Next.
8. Click Generate Report, then
type a name in the Report
name text box. Optionally,
specify a report title. Then
click View report, Export
report, or Print report.
9. Type a name for the new
trade area in the text box
and enter any comments,
then click Finish.
Your new trade area is
created and displayed on the
map.

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 Manage existing Managing existing trade
areas
trade areas
1. Click the Business Analyst
This option allows you to view drop-down menu and click
trade areas, modify trade areas, Trade Area.
delete trade areas, or rename
The Trade Area Wizard
and edit comments for trade opens.
areas.
2. Click Manage Existing Trade
Area(s), then click Next.
Tip
3. Select one or more Trade
Using the different
Areas and choose the
managing views
appropriate action: View
You can view the trade areas you Trade Area(s), Modify Trade
are managing in two different
Area, Delete Trade Area(s),
ways, Show All and Hide All.
or Rename or Edit Com-
Clicking the Show All button will ments for trade areas, then
display trade areas grouped by click Finish.
individual Projects in a tree view.
Clicking the Hide All button will
display all trade areas for the

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Ch08.pmd 182 3/15/2007, 9:44 AM
 Analysis
IN THIS CHAPTER
• Customer prospecting and
profiling
• Using customer prospecting
• Desire lines
• Using desire lines
• Find similar
• Mean store center
• Using mean store center
• Spatial overlay
• Using spatial overlay
• Managing existing analyses
Ch09.pmd 183
9
This chapter contains a variety of analysis techniques, most oriented to
helping you better understand your customer data and make better
decisions about future business. Each of the analysis types listed to the left
are discussed in more detail in this chapter.
Customer prospecting is based on two important questions:
• What are the demographic characteristics of my best customers?
• Where are areas with customers with the same or similar
demographics?
If you know what kind of customers you’re looking for, you can enter them
directly into the Customer Prospecting analysis. If you want to look at an
existing set of customers (perhaps those in your most successful market
areas) and determine their profile, you can use customer profiling to do so.
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3/15/2007, 12:30 PM
 Customer prospecting and profiling
What are the demographic characteristics of my Some examples of customer profiling include the following:
customers? • A national retail chain uses customer profiling to provide
To use the Customer Prospecting Wizard, you must know what benchmark customer characteristics for each regional division.
type of customers to tell the Customer Prospecting Wizard to look The data is analyzed to uncover regional differences in the
for. You may not be sure what the profile of your best customers customer database. These characteristics are used to fine-
is. You can use customer profiling to find the demographic profile tune the merchandise mix in different regions of the country.
of a set of customers. • Another retail chain uses customer profiling to determine that
Customer profiling works this way: every area—ZIP Codes, block it serves three distinct markets: inner city, suburban, and
groups, tracts—has demographic data associated with it. The freestanding small city. Each market responds to different
example below shows each block group with an average types of advertising.
household income. • A large insurance company finds that the number and kind of
In this example, four customers living in different block groups policies vary considerably with customer profile. This
are being profiled. Each customer is tagged with the value of the information is used to provide better agent leads.
block group they fall within. The values for each customer are • Using lifestyle segmentation data in the Household data
totaled and divided by the number of customers. option will provide a profile of customers based on the
Customer Average household income dominant lifestyle segmentation data code. You can then
1 $ 25,000 identify how many customers you have in each segment. The
2 $ 25,000 lifestyle segmentation data descriptions provide detailed
3 $100,000 profiles of each segment. They can be used to find other
4 $ 50,000 segments nationwide at the census tract level to locate more
Total $200,000 areas that look like your existing customers. Lifestyle
segmentation data is only available in the ESRI demographic
Total avg. income / Total no. of cust. = Profile average dataset. The detailed segmentation descriptions are found in
$200,000 / 4 = $50,000 the ArcGIS Desktop Help under ‘Extensions: Business
Analyst’.
Now that you know the profile of your customers, you can use
these values in customer prospecting to look for other areas with
the same type of customers.

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 Using customer
prospecting
Customer prospecting allows
you to locate regions with ideal
demographic characteristics for
targeting new customers.
Performing an analysis
using customer
prospecting
1. Click the Business Analyst
drop-down menu and click
Analysis.
The Analysis Wizard opens.
2. Click Create New Analysis,
then click Next.
3. Click Customer Prospecting
as the type of analysis you
want to perform, then click
Next. u

ANALYSIS 185

Ch09.pmd 185 3/15/2007, 12:30 PM

 4. Click the level of geography
you want to prospect, then
click Next.
5. Define the area you want to
prospect. Click Use Current
Extent, Use Study Area, Use
feature from a layer, or Use
selected graphic polygon(s),
then click Next. u

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 6. Choose whether you want to
prospect using a profile of
your customers (recom-
mended) or by entering
values manually, then click
Next.
a. If you choose Enter values
manually, click the
desired variables from the
2000 Total Population list,
then you can manually
adjust the Floor and
Ceiling values for each
variable you choose. To
find targets that meet all
the criteria, click Match all
criteria (AND), or to find
targets that match one or
more of the variables,
click Match any criteria
(OR).
At any time, you can click
a variable and click Show
in the Field Statistics box.
This information can be
helpful in setting Floor or
Ceiling values. u

ANALYSIS 187

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 b. If you choose Use my
customer layer, check the
fields you want to use for
customer prospecting,
then click Next.
7. Choose how you want to
define similarity. Click Set
floor value only, Set ceiling
value only, or Set both floor
and ceiling values. Type the
variance in the Variance text
box, then click Next. u

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 8. The Validating Parameters
dialog box opens and
processes the information.
When it’s finished, you can
manually adjust the floor and
ceiling values for each
variable by clicking the
variable and typing values in
the Floor and Ceiling text
boxes.
9. Determine if you want to find
targets that meet all the
criteria or targets that match
one or more of the variables.
Click Match all criteria (AND)
or Match any criteria (OR).
10. If you want to view field
statistics, click the Show
button.
11. Type a name for the new
analysis, type any comments
in the Comments text box,
then click Finish.
The analysis is displayed on
the map.

ANALYSIS 189

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 Desire lines
Desire lines, or spider diagrams, are a series of rays drawn from
each customer to the store. They can be both unweighted (where
each customer is counted equally) or weighted (the line from each
customer is drawn in different colors or thicknesses depending
on variables such as sales or visits). Desire lines graphically
illustrate the direction or directions of pull in the marketplace.
More customers may be pulled from one or two directions than
from other directions. Desire lines also provide a quick and simple
method to see if stores are cannibalizing each other.
The graphic below shows unweighted desire lines drawn from
each customer to its store. The desire lines have been drawn as
different colors for each store.
Weighted values aren’t used to calculate desire lines but to
display the lines differently. The thickness (or color) of each
desire line is proportional to the weighted variable for that
particular customer.
190
Ch09.pmd 190
Desire lines can be weighted by any number in the customer
database. For example, a hospital might weight each patient line
by the number of hospital stays per year. Insurance policy
holders might be weighted by the number of policies or the dollar
value of claims.
Some other examples of desire lines include:
• A lawn and garden operation uses desire lines to adjust
advertising expenditures by visualizing the greater draw
toward expanding suburbs and a more limited reach toward
the inner city. New locations are located accordingly.
• A national home improvement/builder’s supply operation
maps weekday and weekend desire lines to better understand
variations in these market segments.
• A convenience store/gas chain creates desire lines based on
affinity card data to examine the impact of new, suburban
locations on older, highway-oriented stores. Older, marginal
operations are closed when excessive cannibalization can be
seen.
• A multistore dry cleaning/laundry operation uses customer
addresses and time of day to visualize customer travel
patterns such as going to work versus going home.
• Large supermarket chains use desire lines weighted by sales
to analyze the effect of distance on expenditures per visit.
• A retailer uses desire lines to identify weekday versus
weekend shoppers. The resulting analysis can then be used
to identify consumer behavior and shopping patterns. For
example, weekday shoppers travel shorter distances than
weekend shoppers.
USING ARCGIS BUSINESS ANALYST
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 Using desire
lines
Desire lines show which
customers visit which stores. A
line is drawn from each cus-
tomer point to its associated
store point, making it easy to
see the actual area of influence
of each store.
To represent your data even
more accurately on the map, use
the Thematic Mapping Wizard
to display the lines as different
colors or widths based on other
fields in the database. For more
information, see Chapter 13.
ANALYSIS
Ch09.pmd 191
Performing an analysis
using desire lines
1. Click the Business Analyst
drop-down menu and click
Analysis.
The Analysis Wizard opens.
2. Click Create New Analysis,
then click Next.
3. Click Desire Lines as the
type of analysis you want to
perform, then click Next.
4. Click the drop-down menu
and click the layer that
contains your stores. Click
the second drop-down menu
to choose the field that
contains a unique ID for each
store.
5. Choose how many stores
you want to use, click All
stores, Selected stores, or
Single store, then click
Next. u
191
3/15/2007, 12:30 PM
 6. Click the drop-down menu
and click the layer that
contains your customers.
Click the second drop-down
menu and click the layer that
contains your store ID. If you
don’t have a store assign-
ment for each customer,
Business Analyst can create
one by assigning customers
to the closest store location
or by using a trade area layer
that contains trade areas for
each store.
7. You have the option of
checking the box to Exclude
outlying customers. If you
check this box, type a
distance and click the
Distance units from the drop-
down menu. This is the
distance outward from each
store beyond which custom-
ers will not be included. u

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 8. Your Desire Lines analysis
layer will contain store
distance information. To
choose the distance calcula-
tion method, click Drive Time,
Drive Distance, or Straight
line distance. Note that the
distance displayed on the
map will always appear as
straight lines.
You have the option of
checking the box that will
also add this distance
information to each record in
the customer layer.
9. Choose the distance units
from the Select distance units
drop-down menu, then click
Use existing field for distance
or click Create new distance
field, then click Next. This
applies to the field in the
customer layer to use for the
customer distances from their
assigned stores. You can use
an existing field or Business
Analyst will create a new
one.
10. Type a name for the new
analysis, type any com-
ments, then click Finish.
The Desire Lines Analysis
layer displays on the map.

ANALYSIS 193

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 Find similar Performing an analysis
using find similar
Find Similar is a tool to score
potential new sites against a 1. Click the Business Analyst
known, well-performing site drop-down menu and click
called a master site. Two Analysis.
techniques are available. The The Analysis Wizard opens.
first, or conventional, technique
2. Click Create New Analysis,
does this by comparing values
then click Next.
for up to five variables between
the master site and the scored 3. Click Find Similar as the type
sites. You will assign a +/- of analysis you want to
percentage of the master site perform, then click Next. u
value that you want the new
sites values to fall within. Sites
are then assigned a score of 1–5
based on the number of
variables that match the criteria
you set.
The second, more powerful
technique uses a series of
multivariate statistical tech-
niques, including Principal
Component Analysis (PCA), to
create groups (factors) of like
variables. This approach will
then rank the trade areas
around each of the scored sites
by comparing each of the
scored site variable groups with
the same variable groups of the
master site. You choose the
number of best (most similar)
sites you want shown.
Why do some stores do better
than others? The old real estate
axiom of “Location, location,
location” is usually the most
important part of the answer. u

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 The Find Similar module is
based on the idea that the
characteristics of a master site
can be used to find similar sites
elsewhere. Find similar allows
you to score any polygon data
(for example, simple rings, drive
times, other forms of trade
areas, and census tracts). It
also allows you to score point
locations by associating the
point with its underlying
geography polygon and the
characteristics of that polygon.
Use find similar to get a quick
overview of a large number of
potential sites and pick the top-
scoring sites for additional
analysis.
The master site might be based
on your best location or a
typical location. You might
choose a master site based on a
store with a particular product
mix or one that has the highest
rate of same-store sales. You
must select a master site
candidate for the Find Similar
tool to score against.
The Find Similar tool also needs
a number of sites to be scored
(scored sites) against the
master site. The master site and
scored sites need to be in the
same layer.
The Find Similar Wizard is quite
flexible as to what is used for
sites. Some examples of site
inputs are a database of points
added as a layer using the u
ANALYSIS
Ch09.pmd 195
4. Click the drop-down menu
and click the layer containing
sites or trade areas to be
scored.
5. Type the buffer distance
around each site and choose
the distance units from the
drop-down menu.
6. Click the drop-down menu
and choose the master site to
calculate similarity against.
Click the second drop-down
menu and choose the level
of geography to summarize
data with, then click Next.
7. Choose the distance calcula-
tion method, then choose the
distance units and click Next.
8. Choose the method you want
to use to find similar sites.
Principal Component
Analysis is recommended.
9. From your layer of sites to be
scored, you will probably
want to see the top three to
ten locations. Type the
number of sites you want to
rank in the PCA Parameters
text box, then click Next.
Eigenvalue is a factor used
in Principal Component
Analysis and, in most cases,
is used with a value of 1. This
value should only be
changed by users with
statistical backgrounds who
understand the workings of
PCA. u
195
3/15/2007, 12:30 PM
 Store Setup Wizard; a database 10. Click one or more fields you
of points geocoded by latitude/ want to use, then click Next.
longitude or address and set up When using the PCA
using the Analysis Layer Setup technique, you may want to
Wizard; rings, drive times, or choose entire categories of
other trade areas created in variables and let the soft-
Business Analyst; or any ware calculate the statisti-
polygons added as a layer on cally significant variables.
the map and set up using the
Analysis Layer Setup Wizard. 11. Type a name for the new
Although it isn’t required, in analysis, type any com-
most cases you should compare ments, then click Finish.
similar-sized areas around the Your results are displayed on
master and scored sites. For the map.
example, if you’re using a five-
minute drive time around your
master site, you should create
and use a five-minute drive time
around your scored sites.
Scored site rings can be
generated around a set of
points you determine to be
important. Examples include
points with traffic counts higher
than a user-defined value,
points representing empty
parcels zoned commercial, or
buildings for sale or lease.

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 Mean store center
When considering sites for a new store, potential customers are
your first concern—their location and their demographics. The
mean store center analysis creates a centroid in the mean
geographic center of your customer points.
This centroid can be calculated by:
To begin, you might purchase a mailing list of households with
similar demographics in the expansion market, geocode them
using the Customer Setup Wizard, then calculate the centroid by
the number of prospects. The resulting centroid would be a good
place to start looking for a new location.

• Number of customers
• Weighted value (such as sales or visits)

Calculating the centroid by number of customers

When the centroid is calculated by the number of customers,
each customer point has an equal value. Since the centroid
represents a balance point between all customers, it will be
located roughly in the center of the customers. If customers are
more densely populated on one side, the centroid will be pulled in
that direction.

Example: By using customer locations

Suppose you want to expand your chain of sporting equipment
stores into a new market area. Your existing customer profile
shows that you sell to a limited demographic segment—high-
income, well-educated people who play golf.
Calculating the centroid by weighted value
A centroid calculated by a weighted value considers each
customer to have an individual value. The centroid is not created
in the center of all customers but in the center of the customers
who most satisfy the value you’ve weighted.
Suppose you want to calculate the centroid by customer sales.
The location of a customer who has spent $100 at your store will
be counted 100 times more than a customer spending only one
dollar. When the centroid is calculated, this weighting pulls the
centroid toward the more important points.

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 Notice the location of the centroid in the following graphic when
calculated by a weighted value, in this case, sales. No longer is
the centroid in the center of the customer points, but it has
shifted toward the customers who spend more money.
Some other examples of how businesses use centroids include:
• A high-end men’s clothing store loses its lease at a long-
time location. It uses its customer database weighted by
total sales per year as the base in its search for a new location.
• A rapid auto oil change franchise uses the business addresses
of existing customers to find an optimum location for a new
operation to serve customers near their workplace.
• A bank derives a weighed centroid for each product type
(home equity loans, auto loans, CDs, investments, and so on)
and assigns the branch closest to each centroid to specialize
in that product.

Example: New store by weighted value

Suppose the building leases for two of your bank’s branches
expire at the end of the year. You want to know if the leases are
worth renewing. Using each branch’s customer set, you calculate
a centroid weighted by the number of visits or total deposits.
You can then compare the resulting centroids with where the
actual branches are. If a branch is fairly far from a centroid, you
might consider looking at other properties instead of renewing
the leases.

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 Using mean store
center
Mean store center finds the
weighted or unweighted
geographic center of a group of
customers.
Any numeric variable, such as
sales or number of visits, can be
used for weighting.
Performing an analysis
using mean store center
1. Click the Business Analyst
drop-down menu and click
Analysis.
The Analysis Wizard opens.
2. Click Create New Analysis,
then click Next.
3. Click Mean Store Center as
the type of analysis you want
to perform, then click Next.
4. Click the layer that contains
your customers, then click
Next. u

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 5. Choose how you want to
calculate the mean store
center.
6. Optionally, click the drop-
down menu to choose which
field contains IDs of associ-
ated stores, then click Next.
Use this option if you have
customers from multiple
stores in one layer. If you
choose <none>, the mean
store center is calculated for
all customers in the layer.
7. Type a name for the new
analysis, type any comments,
then click Finish. If you want
to create a Mean Store
Center Report , check Create
Reports and click Next.
8. Click the drop-down mennu
to choose the layer that
contains your stores.
9. Click the second drop-down
menu to select the store ID
field.
10.Select the distance calcula-
tion method and distance
units.
11.Type the name of the report
and click Finish.

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 Spatial overlay
Spatial overlay allows you to extract data from one layer, such as
block groups, to an overlay layer, such as a trade area you have
created in Business Analyst.
You begin this analysis with two layers. The first, input layer,
contains the underlying data that you want to extract. Data is
extracted from this layer into a second, or overlay, layer. For
example, suppose you have demographic and socioeconomic
data at the block group level. You then create a market area as a
new layer based on your knowledge of the draw of a particular
store. You might also create some sales territories (layers) that cut
across the boundaries of the underlying input data layer.
Spatial overlay in Business Analyst has been improved to work
not only with polygons but also with point layers. The possible
input layer and overlay layer combinations are:
Input layer Overlay layer
Polygon Polygon
Point Polygon
Polygon Point
An example of a point layer as the overlay layer is using your
customer layer to overlay block group polygons with
demographics to add demographic characteristics for each
customer into your customer layer database.
Spatial overlay allows you to answer questions such as How
many households are there in my overlay polygons, what are the
demographic characteristics of each of my customers, or what is
the per capita income in this market area? Spatial overlay gives
better answers to such questions than competing methods. The
key idea is that data fields are assigned from an underlying data
layer to an overlay layer.
ANALYSIS
Ch09.pmd 201
If the overlay layer is a polygon and cuts across a polygon input
layer, the data will be apportioned based on the apportionment
method identified in the Analysis Layer Setup Wizard. This will be
one of the four methods of area, population (block point),
households (block point), or total housing units (block point).
Geography layers that come with Business Analyst are already
set up but can be changed using the Analysis Layer Setup
Wizard.
You will begin with a simple example of area apportionment of
population. If a block group falls totally within the overlay
polygon, all of its population is counted. If only 50 percent of the
block group falls within the overlay polygon, only 50 percent of
its population is counted. This gives you a more accurate
estimate than if you just added up the polygons that touched or
had their center within the overlay polygon.
Apportioning based on block point data (population,
households, or housing units) is a much better method than area
apportionment. A majority of a block group’s population may
reside in one quadrant of the block group. Apportioning by area
doesn’t take this into account.
The process is straightforward when considering data that
represents whole quantities—for example, population,
households, housing units, people aged 12–17, and so on—but it
becomes more complicated for proportional data such as average
age, per capita income, or median household income. For these
cases, a weighted average must be used.
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3/15/2007, 12:30 PM
 Consider the following exaggerated example of two underlying
polygons—for example, block groups—and a single overlay
polygon—for example, a market area. The situation is illustrated
by the following graphic:
Adding these two sums together gives a total of $25,500,000.
When you then divide by the total number of people in the
overlay polygon (1,005), you get an estimated per capita income
of $25,373. This figure is a much better estimate of the per capita
income of a randomly selected person from within the overlay
polygon. Weighting of variables can be set up using the Analysis
Layer Setup Wizard.

The overlay polygon, shown in red, is assigned all the population

in data polygon B but only 50 percent of the population in data
polygon A for a total of 1,005 people. What is the best estimate of
per capita income? You could just average the two figures
([$100,000 + $25,000]/2) for an estimated value of $62,500. This
figure, however, is not a good estimate of the income of the
market area. There are a few (5) with high incomes and a large
number (1,000) with much more modest incomes.
The best estimate of per capita income for this market area can be
obtained from a weighted average. You should always weight
data on individuals—for example, per capita income or median
age—by population and weight data on households—for
example, average household size or median household income—
by households. In this example, you’ll multiply the estimated
overlay population of A (5) by per capita income ($100,000) for a
total of $500,000. Next, you’ll multiply the overlay population of B
(1,000) by per capita income ($25,000) for a total of $25,000,000.

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 Using spatial Performing an analysis
using spatial overlay
overlay
1. Click the Business Analyst
Spatial overlay analysis extracts drop-down menu and click
data from one layer and joins it Analysis.
to another layer.
The Analysis Wizard opens.
To get access to and run the 2. Click Create New Analysis,
Spatial Overlay Wizard, you
then click Next.
must have at least one polygon
layer in your map document. 3. Click Spatial Overlay as the
type of analysis you want to
The Spatial Overlay Wizard is a
perform, then click Next. u
simple tool to use. You choose
an input layer, overlay layer,
and a name for the new spatial
overlay layer that is created.
If you added a layer of your
own to the map and want to use
it as an input layer for spatial
overlay, you will first need to
proceed through the Analysis
Layer Setup Wizard for that
layer. It is a brief wizard that lets
Business Analyst know how
you want data in that layer
aggregated.

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 4. Click the Input Data Layer
drop-down menu to choose
the layer that contains the
data to be extracted, click the
second drop-down menu to
choose the Overlay Layer,
then click Next. In the
diagram shown, Block Group
demographics are being
added to a store layer.
5. Select one or more fields you
want to use from the list, then
click the right arrow button to
move the field(s) to the
column on the right. To select
multiple fields, hold down the
Ctrl key and click the fields
you want use, then click the
right arrow button. To move
all fields in the list to the right
column, click the double right
arrow button. When you’re
finished adding fields, click
Next. u

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 6. Type a name for the new
analysis, type any comments,
then click Finish.

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 Managing
existing analyses
This wizard option is used to
open, modify, delete, or rename
an existing analysis.
Tip
Using the analysis options
on the Analysis Wizard
Open Analysis(es)—Adds a
previously created analysis to your
current map document (.mxd).
Modify Analysis—Steps you
through the wizard selections of a
previously created analysis and
permits changes.
Delete Analysis(es)—Removes an
analysis from your current map
document and permanently deletes
it from your My Output Data folder
on your hard drive.
Rename or Edit Comments—
Allows you to rename the analysis
or change the Comments block.
1. Click the Business Analyst
drop-down menu and click
Analysis.
The Analysis Wizard opens.
2. Click Manage Existing
Analyses, then click Next.
3. Click one or more analyses
and choose one of the
following options: Open
Analysis(es), Modify Analy-
sis, Delete Analysis(es), or
Rename or Edit Comments,
then click Finish.
The options listed above
change depending on how
many analyses you choose to
manage at once. For
example, if you choose two
analyses at once, you can
only open or delete them. The
other actions become
inactive.

Tip
Using the different
managing views
You can view the analyses you are
managing in two different ways,
Show All and Hide All.
Clicking the Show All button will
display analyses grouped by
individual Projects in a tree view.
Clicking the Hide All button will
display all analyses for the active
Project only.

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 Modeling
IN THIS CHAPTER
• How the original Huff model (in
Business Analyst) works
• Original Huff model
10
This chapter provides tools to generate sales predictability models based on
basic and advanced approaches utilizing the Huff model developed by Dr.
David Huff. Methods of statistical calibration of the model are provided to
make use of either survey data or real customer data that you may have.

• Advanced Huff model with

statistical calibration

• Huff model calibration

• Using dissolve by attribute

• Managing existing modeling

analyses

• Managing model calibration

parameters

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 How the original Huff model (in Business Analyst) works
The Huff model is an established theory in spatial analysis. It is
based on the principle that the probability of a given consumer
visiting and purchasing at a given site is some function of the
distance to that site, its attractiveness, and the distance and
attractiveness of competing sites.
This specific model, in the area of spatial interaction research,
was refined and made operational by Dr. David Huff of the
University of Texas nearly 40 years ago. The advent of powerful
desktop computers has made it possible to apply the model.
The basic Huff formulation of the model takes the following form:
Where:
Pij = the probability of consumer j shopping at store i.
Wi = a measure of the attractiveness of each store or site i.
Dij = the distance from consumer j to store or site i.
a = an exponent applied to distance so that the probability of
distant sites is dampened. It usually ranges between 1.5 and 2.
In practice, census polygons (for example, block groups) are
substituted for individual consumers. The calculated probability
for each polygon is then multiplied by some data element in the
polygon database (for instance, households and dollars spent on
groceries). This measure can then be summarized to give an
estimate of the total. Some measure of size, such as gross leasable
area (GLA), is often used as a surrogate for attractiveness.
208
Ch10.pmd 208
A site has many attributes that make it attractive to consumers.
Attractiveness can be computed as a function of many attributes.
For a retail store, these would be its retail floor space, number of
parking spaces, or product pricing. Attractiveness of a car dealer
could be a function of its display area, frontage, and
advertisement. The attractiveness of an office building could be a
function of how many offices are currently located within it.
Attractiveness is expressed as one number that combines all the
factors that make a center attractive. This number is usually
referred to as an index. An index of attractiveness for a center is
one number describing the factors that make it attractive to its
customers. This index could also be derived by counting how
many people come to that destination or by conducting a
consumer survey.
You can control the distance that the Huff model will extend. Type
a value that will encompass all your competitors. You can use the
Measure tool to estimate the distance that should be used.
You can choose the distance units to be either miles or kilometers.
This section lists some commonly used terms and their meanings
in the context of the Huff model.
Distance–decay function
A person’s perception of how far a destination is may not be a
linear function of distance. That is, customers are more likely to
shop at a place closer to home than far away. In other words,
distance is viewed as a nonlinear deterrent to movement. This
phenomenon can be modeled by using a distance-decay function.
The use of a power distance-decay function is borrowed from
Newton’s famous law of gravitation from which the term gravity
model is derived. A distance-decay parameter, symbolized by the
Greek letter beta, can be used to exaggerate the distance to
destinations. Some activities, such as grocery shopping, have a
large exponent indicating that customers will travel only a short
USING ARCGIS BUSINESS ANALYST
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 distance for such things. Other activities such as furniture
shopping have a small exponent because customers are willing to
travel farther to shop for furniture.
The exponential function is typically used for computing
interactions over a small distance, such as within a city.
All Huff model inputs, exponents, trade area size, and results
require detailed analysis by someone who is well versed in the
operation of such a model. Some calibration is always required to
account for other factors such as leakage (when people don’t buy
all their groceries at supermarkets, some of that spending leaks to
other trade areas, such as convenience stores, farmer’s markets,
and mail order).

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 Original Huff 1. Click the Business Analyst
drop-down menu and click
model Modeling.
The Modeling Wizard opens.
The original Huff model
described on the previous 2. Click Create Modeling
pages provides a simple tool to Analysis and click Next.
estimate sales potential of an 3. Click Original Huff Model as
area. It takes into consideration the type of modeling analysis
your proposed site location, and click Next. u
competitor locations, sales
potential data, and attractive-
ness field. The sales potential
data is often a geography
layer—that is, block group or
tract—containing a sales
potential field such as con-
sumer expenditure on furniture,
apparel, auto repairs, and so on.
Business Analyst geography
contains consumer expenditure
fields. The attractiveness field
shows how attractive the
competitor is to its customers.
The most commonly used
attractiveness attribute is GLA.

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 4. Click the first drop-down
menu and click the layer
containing your sales
potential field. You have the
option of checking the box to
Only show Business Analyst
data layers (BDS). Business
Analyst geography layers
contain many fields,
including consumer expendi-
ture data, that can be used
as an indicator of sales
potential.
5. Click the second drop-down
menu and click the field that
contains the sales potential
figures. Business Analyst
geography layers often use a
tree structure to present
categories of fields that can
be expanded to show
individual fields in that
category. You can hold the
Ctrl key and click any plus (+)
or minus (-) sign in the tree
structure to expand or
collapse the tree structure.
Click Next.
6. Click the first drop-down
menu and click the layer
containing your competitive
stores. Click the second
drop-down menu and click a
field that represents attrac-
tiveness for the competitive
stores to GLA, for example.
Click Next. u

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 7. Click one of the methods of
selecting a potential store
location.
8. If you click By entering
address, enter the address of
the location by clicking each
field in the Value column.
Click OK to continue.
9. Type an attractiveness value
for the potential site. This field
can be compared to the
attractiveness field of the
competitive stores. Click
Next. u

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 10. If you click By selecting a
feature from layer, click the
first drop-down menu and
click the layer containing the
potential site. Click the
second drop-down menu
and click the individual
feature to use for the site
location, then click the third
drop-down menu and click
the attractiveness field for
the potential site. This field
can be compared to the
attractiveness field of the
competitive stores. Click
Next.
11. Type a distance that the
model will extend out from
your potential site location.
Click the Distance units
drop-down menu and click
the distance units.
12. Use the slider bar or type a
number between 1 and 3 to
indicate the impact of travel
distance on a customer’s
willingness to travel to make
a purchase at the store. The
lower the number, the more
willing the customer is to
travel a greater distance to
make the purchase. Click
Next. u

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 13. Type a name for the new
model in the text box and
type any comments, then
click Finish.
Your new analysis area is
created and displayed on
the map.

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 Advanced Huff 1. Click the Business Analyst
drop-down menu and click
model with Modeling.

statistical The Modeling Wizard opens.

2. Click Create Modeling
calibration Analysis and click Next.
The advanced Huff model uses 3. Click Advanced Huff Model
improvements by Dr. David with Statistical Calibration as
Huff on the original Huff model the type of modeling analysis
to enhance its performance. and click Next. u
Specifically, this method will
allow distance between stores
and customers to be calculated
through standard Euclidean
(straight-line) distance or,
alternatively, drive time or drive
distance. Multiple parameters
can be selected for each store
rather than a single variable.
The advanced Huff model also
contains a calibration utility
that allows you to calculate the
proper exponent values in the
model through observed
shopping behavior or through a
market survey. The calibration
utility is discussed in more
detail in the Huff model
calibration section that follows.
The results of the Huff model
can be used to:
• Estimate, define, and analyze
market potential.
• Assess economic impact of
a new site location. u

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 • Forecast sales and potential
of existing stores and
outlets.
• Assess the impact of
competitive and environ-
mental changes on outlet
performance.
5. Click the second drop-down
6. Click the first drop-down
216
Ch10.pmd 216
4. Click the first drop-down
menu and click the layer
containing your sales
potential field. You have the
option of checking the box to
Only show Business Analyst
data layers (BDS). Business
Analyst geography layers
contain many fields, includ-
ing consumer expenditure
data, that can be used as an
indicator of sales potential.
menu and click the ID field for
your Sales Potential layer.
Click the third drop-down
menu and click the sales
potential field. Business
Analyst geography layers
often use a tree structure to
present categories of fields
that can be expanded to
show individual fields in that
category. You can hold the
Ctrl key and click any plus (+)
or minus (-) sign in the tree to
expand or collapse the tree
structure. Click Next.
menu and click the
competitive stores layer. Click
the second drop-down menu
and click the Store ID field.
Click Next. u
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 7. Click one of the methods of
selecting a potential store
location.
8. If you click By entering
address, enter the address of
the location by clicking each
field in the Value column.
Click OK to continue.
9. If you click By selecting a
feature from layer, click the
first drop-down menu and
click the layer containing the
potential site. Click the
second drop-down menu and
click the individual feature to
use for the site location. Click
Next. u

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 10. The Calibrate Model utility is
covered in detail in the Huff
model calibration section
that follows. You can also
access this information by
clicking the Advanced Huff
Model with Statistical
Calibration option on the
Modeling Wizard. Click Use
statistically calibrated
parameters from previous
analysis or click Enter
parameters manually.
Choose either and click
Next. u

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 11. If you click Enter parameters
manually, the dialog box to
the right will appear. Click a
method for how distance will
be calculated in the model.
Use the + or - buttons to add
or remove predictor vari-
ables. After adding a
variable, click the variable in
the Variable column to
activate a drop-down menu
for choosing any variable in
the layer. Click the Variable
table in the Potential Site
Value column and type a
value. Click the Coefficient
column and type a value
between -1.0 and -3.0 that
indicates the impact of travel
distance on a customer’s
willingness to travel to make
a purchase at the store. The
closer the number is to -1.0,
the more willing the
customer is to travel a
greater distance to make the
purchase. Click Next.
12. Type a name for the new
model in the text box and
type any comments, then
click Finish.
Your new analysis area is
created and displayed on
the map.

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 Huff model 1. Click the Business Analyst
drop-down menu and click
calibration Modeling.
The Modeling Wizard opens.
Business Analyst offers two
forms of model calibration— 2. Click Create Modeling
using real customer data and Analysis.
using survey data. Calibration 3. Click Huff Model Calibration
of any model is critical to as the type of modeling
maximizing its predictive value. analysis and click Next. u
You will need the following to
calibrate your model:
• If using real customer data,
it must contain information
from a sample of households
in each subgeography area
within the study area. You
need customer data for each
existing and competitive
store location in the study
area. The customer informa-
tion is converted in the
model to proportions for
each subgeography area.
• Survey data will be used to
determine the frequency of
shopping trips each respon-
dent makes to the stores
within the study area. Exit
interviews are a good
method for collecting this
information.
• Ensure that each
subgeography area is
adequately represented in
the sample. u

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 • The Potential Customers
geographic level is usually a
polygon trade area repre-
senting subareas where
potential customers live.
This can also be a point
layer (for example, block
centroids) that has associ-
ated demographic data.
• The competitive store layer
should include all competi-
tive locations in a given
study area. This layer
should also include any of
your existing store locations
in the study area, since they
will act as competitors to a
new store location. In most
cases, this layer will be a
Business Analyst store
layer.
• Competitive store locations
can be extracted from the
Add Business Listings
function in ArcGIS Business
Analyst.
• The first step in executing
this wizard is to define a
study area that includes all
the trade areas of all
competing stores being
analyzed. u
MODELING
Ch10.pmd 221
4. Click the first drop-down
menu to select the layer
containing your sales
potential field. You have the
option of checking the box to
Only show Business Analyst
data layers (BDS). Business
Analyst geography layers
contain many fields, includ-
ing consumer expenditure
data, that can be used as an
indicator of sales potential.
5. Click the second drop-down
menu and click the ID field
for your sales potential layer.
Click the third drop-down
menu and click the sales
potential field. Business
Analyst geography layers
often use a tree structure to
present categories of fields
that can be expanded to
show individual fields in that
category. You can hold down
the Ctrl key and click any
+ or - in the tree to expand or
collapse the tree structure.
Click Next.
6. Click the first drop-down
menu and click the competi-
tive stores layer. Click the
second drop-down menu and
click the Store ID field. Click
Next. u
221
3/15/2007, 2:11 PM
 • Store attraction fields, also
known as predictor values,
often include attributes of a
store, such as square
footage, number of parking
spaces, advertising, store
hours, prices, age, appear-
ance, signage, accessibility,
and so forth.
222
Ch10.pmd 222
7. Click one of the methods of
selecting a potential store
location.
8. If you click By entering
address, enter the address of
the location by clicking each
field in the Value column.
Click OK to continue. u
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 9. If you click By selecting a
feature from layer, click the
first drop-down menu and
click the layer containing the
potential site. Click the
second drop-down menu and
click the individual feature to
use for the site location. Click
Next.
10. The Calibrate Model utility is
covered in detail in the Huff
model calibration section
that follows. It is also
provided in the Advanced
Huff model wizard as a
convenience. You have a
choice of selecting the
statistically calibrated
parameter from a previous
analysis or entering the
parameters manually.
Choose an alternative and
click Next. u

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 11. If you click Enter parameters
manually, the dialog box to
the right will appear. Click a
method for how distance will
be calculated in the model.
Use the + or - buttons to add
or remove predictor
variables. After adding a
variable, click the variable in
the Variable column to
activate a drop-down menu
for choosing any variable in
the layer. Click the variable
table in the Potential Site
Value column and type a
value.
Click the Coefficient column
and type a value between
-1.0 and -3.0 to indicate the
impact of travel distance on
a customer’s willingness to
travel to make a purchase at
the store. The closer the
number is to -1.0, the more
willing the customer is to
travel a greater distance to
make the purchase. Click
Next.
12. Type a name for the new
model in the text box and
type any comments, then
click Finish.
Your new analysis area is
created and displayed on
the map.

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 Using dissolve by 1. Click the Business Analyst
drop-down menu and click
attribute Modeling.
The Modeling Wizard opens.
You can use the Dissolve by
Attribute function on the 2. Click Create Modeling
Modeling Wizard with the Analysis and click Next.
output from the original or 3. Click Dissolve by Attribute as
advanced Huff model and the type of modeling analysis
dissolve the attribute probabil- and click Next. u
ity field. For example, you can
create primary, secondary, and
tertiary trade areas based on the
output probabilities of the
original Huff model. The output
from the Huff Model tools in
Business Analyst creates a
probability for each
subgeography unit in the study
area. For example, the output
from the Huff models will create
a probability of households in
each block group of patronizing
a new store location.
The Dissolve by Attribute
option allows you to collapse
the probability attributes in the
block groups to create trade
areas. For example, you can
create three trade areas with the
following probabilities:
• 70–100 percent
• 40–70 percent
• 10–40 percent
In this case, the layer created
would contain the three
polygon features based on the
ranges above. You can then use
these trade areas to u

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 effectively target potential
clients in these areas to suit
your business needs, such as
marketing campaigns, sales
territory generation, and so
forth.
Use the Dissolve by Attribute
option when you want to
aggregate and dissolve features
based on a specified attribute or
attributes. For example, you
could take a layer containing
sales data collected on a
county-by-county basis and
use the Dissolve by Attribute
option to create a layer contain-
ing contiguous sales regions
based on the name of the
salesperson in each county.
226
Ch10.pmd 226
4. Click the first drop-down
menu and click the results
from an original or advanced
Huff model. If you have pre-
selected particular trade
areas, the check box will be
visible and available to
check.
Click the second drop-down
menu and click the field you
want to use in creating the
trade areas. In the case of the
Huff models you have
created, this will probably be
the GM_PROB field. Click
Next.
5. Click the number of probabil-
ity rings you want and type
the probability using decimal
points (for example, enter
60% as .60). Statistics are
shown with the Min, Max, and
Mean probabilities for your
reference. You have the
option of clicking the box to
Create donut trade areas.
Click Next. u
USING ARCGIS BUSINESS ANALYST
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 6. Type a name in the text box
to save the new probability
trade areas and type any
comments, then click Finish.
Your new trade area layer is
created and displayed on the
map.

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 Managing 1. Click the Business Analyst
drop-down menu and click
existing modeling Modeling.

analyses The Modeling Wizard opens.

2. Click Manage Existing
You can use the Managing Modeling Analysis and click
existing modeling analyses to Next.
view, modify, delete, or rename
an existing modeling analysis. 3. Click the modeling analysis
For example, if you have you want to use. Click View
previously created a Huff Modeling Analysis to add the
model, you can use this tool to model layer to the map, click
rename the output layer. You Modify Modeling Analysis
can also modify the parameters (which steps you through the
for a model and rerun the wizard), click Delete Model-
analysis. ing Analysis, or click Rename
or Edit Comments. Click Next
or Finish, depending on your
Tip chosen action.
Using the different
managing views
You can view the modeling analyses
you are managing in two different
ways, Show All and Hide All.
Clicking the Show All button will
display modeling analyses grouped
by individual Projects in a tree
view.
Clicking the Hide All button will
display all modeling analyses for
the active Project only.

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 Managing model
calibration
parameters
You can use the Managing
model calibration parameters to
view, modify, delete, or rename
an existing modeling calibration
parameter. For example, if you
have previously created an
advanced Huff model with
statistical calibrations, you can
use this tool to rename the
output parameters. You can also
modify the settings for a model
calibration and re-create the
analysis.
MODELING
Ch10.pmd 229
1. Click the Business Analyst
drop-down menu and click
Modeling.
The Modeling Wizard opens.
2. Click Manage Model Calibra-
tion Parameters and click
Next.
3. Click one or more model
calibrations and click the
desired action to either
delete, or rename/edit
comments. Click Next or
Finish, depending on your
chosen action.
229
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Ch10.pmd 230 3/15/2007, 2:11 PM
 Working with maps
IN THIS CHAPTER
11
This chapter will show you different methods you can use to improve the
appearance of your maps. It also presents methods for thematic analysis
• Displaying points as charts of maps.
• Classification methods

• Displaying points as different

colors

• Displaying points as different

sizes

• Displaying lines as different colors

• Displaying lines as different

thicknesses

• Displaying charts in areas

• Displaying areas as different

colors

• Setting dot density in areas

231

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 Displaying points 1. In ArcMap, open the study
area with the points you want
as charts to display as charts.
2. Click the Business Analyst
You can display the points on
drop-down menu and click
your map as charts using the
Tools > Thematic Mapping.
Thematic Mapping Wizard.
Charts can be effective for The Thematic Mapping
comparing several values at Wizard opens.
once. For instance, you might 3. Click the drop-down arrow
display your stores as a pie and click the layer you want
chart, each wedge representing to symbolize, then click
the percentage of total yearly Next. u
sales for a specific product.
A pie chart is useful for
comparing proportions of
different categories in a total
amount, whereas a bar chart
compares actual values rather
than proportions of a total.

Tip
Using charts
• Compare only a few points (20
or 30 at most).
• Use five categories or less on
your chart.
• Make sure that the values
between points vary enough to
actually show differences.

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 4. Click Show each point as a
chart using this chart type,
click the drop-down arrow
and click Pie Chart, then click
Next.
5. If you want to use all fea-
tures, click All features, then
click Next. To use Selected
features, you will first need to
have the features selected
on the map or in the layer’s
attribute table. u

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 6. From the list on the left, click
the field that has values you
want represented in the
charts, then click the single
Right arrow button to move it
to the column on the right. To
choose more than one field,
hold down the Ctrl key and
click each field you want,
then click the single Right
arrow button to move them to
the column on the right. To
move all the fields to the right
column, click the double
Right arrow button. When
you’re finished, click Next.

7. Click the drop-down menu

and choose the color scheme
you want to use, then click
Finish.
The charts display on the
map.

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 Classification methods
There are several different classification methods you can choose With the Geometrical Interval classification method, class
to organize your data when performing thematic mapping. These ranges are based on intervals that have a geometric sequence
include equal interval, natural breaks, quantile, equal area, and based on a multiplier. It creates these intervals by minimizing the
standard deviation. square sum of elements per class; this ensures that each interval
In the Equal Interval classification method, each class has an has an appropriate number of values within it and the intervals
equal range of values; that is, the difference between the high are fairly similar. This algorithm was specifically designed to
and low value is equal for each class. You should use this method accommodate continuous data. It produces a result that is
if your data is evenly distributed and you want to emphasize the visually appealing and cartographically comprehensive.
difference in values between the features. With the Standard Deviation classification method, class breaks
With the Natural Breaks (Jenks) classification method, data are placed above and below the mean value at intervals of 1, 0.5,
values that cluster are placed into a single class. Class breaks or 0.25 standard deviations until all the data values are included
occur where there is a gap between clusters. You should use this in a class.
method if your data is unevenly distributed; that is, many
features have the same or similar values and there are gaps
between groups of values.
With the Quantile classification method, each class has roughly
the same number of features. If your data is evenly distributed
and you want to emphasize the difference in relative position
between features, you should use the quantile classification
method. If, for example, the point values are divided into five
classes, points in the highest class would fall into the top fifth of
all points.

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 Displaying points 1. In ArcMap, open the study
area with the points you want
as different to display as different colors.

colors 2. Click the Business Analyst

drop-down menu and click
Displaying points as different Tools > Thematic Mapping.
colors based on the values of a The Thematic Mapping
numeric attribute is an example Wizard opens.
of a graduated color map.
Because colors don’t necessar- 3. Click the drop-down arrow
ily imply a magnitude, this kind and click the layer you want
of map is most useful for to symbolize, then click
showing data that is ranked, Next. u
such as 1 to 10 or low to high,
or has some kind of numerical
progression, such as measure-
ments, counts, rates, or
percentages.
For example, you might want to
display your customers as
different colors, depending on
how many times a year they
visit the store.
You can also use a nonnumeric
attribute to display points as
different colors. For example,
you could display your stores
as different colors according to
the name of their regional
manager.

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 4. Click Set the color of each
point based on this attribute,
then click Next.
5. Click All features to use all
features. Click Selected
features to use only the
features you have selected
on the map or in the layer’s
attribute table. Click Next to
continue. u

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 Tip
Previewing your results
Optionally, click the Preview button
to see the results on your map
without changing it permanently. To
return to the original legend, click
Undo.
6. Click the drop-down arrow
and click the color scheme
you want to use.
7. Optionally, click the Preview
button to see the results on
your map without changing it
permanently. To return to the
original legend, click Undo.
8. Click Finish.
The points in the chosen
layer are displayed as
different colors on the map.

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 Displaying points
as different sizes
You can display points using a
symbol that varies in size to
represent different values. This
is an example of a graduated
symbol map. Graduated
symbols work best for counts
and amounts, since most people
associate the size of the symbol
with magnitude. For example,
stores could be displayed as
different sizes according to
their sales volume, or you could
show customers according to
total purchases or visits.
WORKING WITH MAPS
Ch11.pmd 239
1. In ArcMap, open the study
area with the points you want
to display as different sizes.
2. Click the Business Analyst
drop-down menu and click
Tools > Thematic Mapping.
The Thematic Mapping
Wizard opens.
3. Click the drop-down arrow
and click the layer you want
to symbolize, then click
Next. u
239
3/15/2007, 2:52 PM
 4. Click Set the size of each
point based on this attribute,
then click Next.
5. Click All features to use all
features. Click Selected
features to use only the
features you have selected
on the map or in the layer’s
attribute table. Click Next to
continue. u

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 Tip
Normalizing data
Normalization is the process of
dividing one numeric attribute
value by another to minimize
differences in values based on the
size of areas or the number of
features in each area—for example,
normalizing (or dividing) total
population by total area gives
population per unit area, or
density.
You have the option to choose a
normalization field when you are
displaying points as different sizes.
You can also choose <none> if you
don’t want your point data
normalized.
6. Click the Color drop-down
menu and click the color you
want to use.
7. Click the second drop-down
menu to choose the classifi-
cation scheme you want to
use.
8. Optionally, click the third
drop-down menu to choose
which normalization field you
want to use.
9. Click Finish.
The points in the chosen
layer are displayed as
different sizes.

Tip
Previewing your results
Click the Preview button to see the
results on your map without
changing it permanently. To return
to the original legend, click Undo.

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 Displaying lines 1. In ArcMap, open the study
area with the lines you want
as different to display as different colors.

colors 2. Click the Business Analyst

drop-down menu and click
Using different colors can also Tools > Thematic Mapping.
be an effective method for The Thematic Mapping
displaying lines; the color of Wizard opens.
the lines varies according to the
value of a particular attribute. 3. Click the drop-down arrow
Because colors don’t necessar- and click the line layer you
ily imply a magnitude, this is want to symbolize, then click
most useful for showing data Next. u
that is ranked, such as 1 to 10
or low to high, or has some kind
of numerical progression, such
as measurements, rates, or
percentages.
For example, you could display
desire lines as different colors
according to the store each
customer visits or whether or
not the customer is a preferred
shopper.

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 4. Click Set the color of each
line based on this attribute,
then click an attribute from
the drop-down menu and
click Next.
5. Click All features to use all
features. Click Selected
features to use only the
features you have selected
on the map or in the layer’s
attribute table. Click Next to
continue. u

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 Tip
Previewing your results
Optionally, click the Preview button
to see the results on your map
without changing it permanently. To
return to the original legend, click
Undo.
6. Click the drop-down arrow
and click the color scheme
you want to use.
7. Click Finish.
The lines in the chosen layer
are displayed as different
colors on the map.

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 Displaying lines 1. In ArcMap, open the study
area with the lines you want
as different to display as different colors.

thicknesses 2. Click the Business Analyst

drop-down menu and click
You can display lines as Tools > Thematic Mapping.
different thicknesses to The Thematic Mapping
represent different values. This Wizard opens.
is another example of a gradu-
ated symbol map. Graduated 3. Click the drop-down arrow
symbols work best for counts and click the line layer you
and amounts, since most people want to symbolize, then click
associate the size of the symbol Next. u
with magnitude. For example,
roads could be displayed as
different thicknesses based on
traffic volume during rush hour.
Desire lines could be displayed
by total sales or number of
visits for each customer.

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 Tip 4. Click Set the thickness for
each line based on this
Normalizing data attribute and click an attribute
Normalization is the process of from the drop-down menu,
dividing one numeric attribute then click Next.
value by another to minimize
differences in values based on the 5. Click All features to use all
size of areas or the number of features or click Selected
features in each area. For example, features to use only selected
normalizing (or dividing) total features. Click Next to
population by total area gives continue. u
population per unit area, or
density.
You have the option to choose a
normalization field when you are
displaying points as different sizes.
You can also choose <none> if you
don’t want your point data
normalized.

Tip
Previewing your results
Click the Preview button to see the
results on your map without
changing it permanently. To return
to the original legend, click Undo.

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 6. Click the Color drop-down
menu and click the color you
want to use.
7. Click the second drop-down
menu to choose the classifi-
cation scheme you want to
use.
8. Click the third drop-down
menu to choose which
normalization field you want
to use.
9. Click Finish.
The lines in the chosen layer
are displayed as different
thicknesses.

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 Displaying charts 1. In ArcMap, open the study
area with the areas you want
in areas to display different colors.
2. Click the Business Analyst
You can display charts in areas
drop-down menu and click
on your map using the The-
Tools > Thematic Mapping.
matic Mapping Wizard. Charts
can be effective for comparing The Thematic Mapping
several values at once. For Wizard opens.
instance, you might display ZIP 3. Click the drop-down arrow
Codes as a pie chart, each and click the layer with areas
wedge representing population you want to symbolize, then
by race. You could display click Next. u
tracts as bar charts representing
the number of people who rent
and those who are home-
owners.
A pie chart is useful for
comparing proportions of
different categories in a total
amount, whereas a bar chart
compares actual values rather
than proportions of a total.

Tip
Using charts
• Compare only a few areas (20
or 30 at most).
• Use five categories or less on
your chart.
• Make sure that the values
between points vary enough to
actually show differences.

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 Tip
Previewing your results
Click the Preview button to see the
results on your map without
changing it permanently. To return
to the original legend, click Undo.
5. Click All features if you want
WORKING WITH MAPS
Ch11.pmd 249
4. Choose one of the following:
Click Show each point as a
chart using this chart type
and choose a chart type from
the drop-down menu, click
Set the color of each point
based on this attribute and
choose an attribute from the
drop-down menu, or click Set
the size of each point based
on this attribute and choose
an attribute from the drop-
down menu. Once you’ve
made your selection, click
Next.
to use all features or Se-
lected features if you only
want to use selected fea-
tures. Click Next to
continue. u
249
3/15/2007, 2:52 PM
 6. This step depends on the
option you chose in step 4.
a. If you chose Show each
point as a chart using this
chart type, you are
prompted to choose which
fields have values you
want represented in the
charts. Click a field from the
left column and click the
Right arrow button to move
it to the right column. To
move all fields to the right
column, click the double
Right arrow.
To remove the fields, click
the field you want to
remove and click the Left
arrow, or to remove all
fields, click the double Left
arrow. When you’re finished
adding fields, click Next.
Click the drop-down arrow
to choose a color scheme
you want to use, then click
Finish.
The charts are displayed
on the map. u

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 b. If you chose Set the color
of each point based on this
attribute, you are prompted
to choose the color
scheme you want to use,
then click Finish. The
points are displayed on the
map in the color scheme
you selected.
c. If you chose Set the size of
each point based on this
attribute, you are prompted
to choose a color from the
drop-down menu. Then,
click the classification
scheme and normalization
field from the drop-down
menus and click Finish.

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 Displaying areas 1. In ArcMap, open the study
area with the area you want
as different to display in different colors.

colors 2. Click the Business Analyst

drop-down menu and click
Displaying areas as different Tools > Thematic Mapping.
colors based on the values of a The Thematic Mapping
numeric attribute is another Wizard opens.
example of a graduated color
map. Because colors don’t 3. Click the drop-down arrow
necessarily imply a magnitude, and click the layer with areas
this kind of map is most useful you want to symbolize, then
for showing data that is ranked, click Next.
such as 1 to 10 or low to high, 4. Click Set the color of each
or has some kind of numerical area based on this attribute,
progression, such as measure- then click Next. u
ments, rates, or percentages.
For example, you could display
block groups according to
average income or ZIP Codes
by number.
You can also use a nonnumeric
attribute to display areas as
different colors. For example,
you could display counties as
different colors according to
their name.

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 Tip
Previewing your results
Click the Preview button to see the
results on your map without
changing it permanently. To return
to the original legend, click Undo.
WORKING WITH MAPS
Ch11.pmd 253
5. Click All features to use all
features or click Selected
features to use selected
features. Click Next to
continue.
6. Click the drop-down arrow
and click the color scheme
you want to use.
7. Click Finish.
The areas in the layer are
displayed as different colors.
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3/15/2007, 2:52 PM
 Setting dot
density in areas
Dot density allows you to show
where things are concentrated,
such as people per square mile.
This is good for showing how
an attribute is distributed
throughout an area. For
instance, a dot density map
depicting population will show
the strongest concentrations of
dots where most people live,
such as along rivers and near
coastlines.
254
Ch11.pmd 254
1. In ArcMap, open the study
area with the areas you want
to show using dot density.
2. Click the Business Analyst
drop-down menu and click
Tools > Thematic Mapping.
The Thematic Mapping
Wizard opens.
3. Click the drop-down arrow
and click the layer with areas
you want to symbolize, then
click Next.
4. Click Set the dot density for
each area based on this
attribute and click the drop-
down menu to choose the
field for which you want to
determine the dot density.
Type the value you want one
dot to represent, then click
Next. u
USING ARCGIS BUSINESS ANALYST
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 Tip
Previewing your results
Click the Preview button to see the
results on your map without
changing it permanently. To return
to the original legend, click Undo.
WORKING WITH MAPS
Ch11.pmd 255
5. Click All features to use all
features or click Selected
features to use only selected
features. Click Next to
continue.
6. Click the Color drop-down
menu to choose a color for
the dots.
7. Click Finish.
The areas in the layer are
displayed using dot density.
255
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Ch11.pmd 256 3/15/2007, 2:52 PM
 Tools
IN THIS CHAPTER
• Remove trade area overlap
• Create grids
• Dissolve by attribute
• Spatial overlay
• Find similar
• Market Ranking report
• Site prospecting
• Store prospecting
Ch12.pmd 257
12
This chapter explains a number of helpful tools that you can use to
supplement and support other forms of analysis. These include:
• Removal of overlapping area between two or more trade areas
• Creating grids to permit normalized looks at demographics and other
variables over an area with grid sizes that you can define
• Dissolving boundaries between trade areas
• Extracting data from one layer and appending it to another
• Ranking a number of potential sites by statistically comparing them to a
master site
• Creating Market Ranking reports
• Prospecting a site using one of several methods
• Creating trade areas by using store prospecting methods
257
3/15/2007, 3:28 PM
 Remove trade
area overlap
The Remove Overlapping tool
provides several methods to
remove overlap between two or
more trade areas, such as the
Thiessen polygon approach
and grids (unweighted and
weighted).
258
Ch12.pmd 258
1. Click the Business Analyst
drop-down menu and click
Tools, then click Remove
Overlapping.
The Remove Overlapping
Wizard opens.
2. Click the first drop-down
menu and click the trade
area layer. Click the second
drop-down menu and click
the STORE_ID field for the
trade area, then click Next. u
USING ARCGIS BUSINESS ANALYST
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 3. To define the centers of the
trade areas, click Use the
store layer. Click the first
drop-down menu and click
the store layer, click the
second drop-down menu and
click the STORE_ID field,
then click Next.
4. Choose how you want to
remove the overlap. Click
Thiessen polygons or Grid
approach. u

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 5. Type a name for your new
trade area in the text box,
type any comments, then
click Finish.
The results are shown on the
map.

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 Create grids
You can append demographic
data to a grid cell to provide a
normalized view of the data,
identifying hot spots and areas
2. To define the grid extent you
of interest.
See Also
See Chapter 7, ‘Trade areas—no
customer data required’, for more
information about grids.
TOOLS
Ch12.pmd 261
1. Click the Business Analyst
drop-down menu and click
Tools, then click Create
Grids.
The Grids Wizard opens.
want to use, click one of the
following: Use Current
Extent, Use Study Area, Use
feature from a layer, Use
selected graphic polygon(s),
or Use layer extent, then click
Next. u
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3/15/2007, 3:28 PM
 3. Type a value in the Grid Cell
Size text box, click the
Distance Unit drop-down
menu and click the distance
units, then click Next.
4. Optionally, you can add
variables from the summari-
zation layer to the new grid
layer. To do this, click the
Select layer drop-down menu
and click a layer from the list,
then click the Select the
symbolization field drop-
down menu and click a field
from the list.
To skip this step, leave the
drop-down lists set to <none>
and click Next. u

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 5. Type a name for the new
trade area in the text box,
type any comments in the
Comments text box, then
click Finish.
The grid displays on the map.

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 Dissolve by 1. Click the Business Analyst
drop-down menu and click
attribute Modeling.
The Modeling Wizard opens.
You can use the Dissolve by
Attribute function on the 2. Click Create Modeling
Modeling Wizard with the Analysis and click Next. u
output from the original or
advanced Huff model and
dissolve the attribute probabil-
ity field. For example, you can
create primary, secondary, and
tertiary trade areas based on the
output probabilities of the
original Huff model. The output
from the Huff model tools in
Business Analyst creates a
probability for each
subgeography unit in the study
area. For example, the output
from the Huff model will create a
probability of households in
each block group of patronizing
a new store location.
The Dissolve by Attribute
option allows you to collapse
the probability attributes in the
block groups to create trade
areas. For example, you can
create three trade areas with the
following probabilities:
• 70–100 percent
• 40–70 percent
• 10–40 percent
In this case, the layer created
would contain the three
polygon features based on the
ranges above. You can then
use these trade areas to u

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 effectively target potential
clients in these areas to suit
your business needs, such as
marketing campaigns, sales
territory generation, and so
forth.
Use the Dissolve by Attribute
option when you want to
aggregate and dissolve features
based on a specified attribute or
attributes. For example, you
could take a layer containing
sales data collected on a
county-by-county basis and
use the Dissolve by Attribute
option to create a layer contain-
ing contiguous sales regions
based on the name of the
salesperson in each county.
TOOLS
Ch12.pmd 265
3. Click Dissolve by Attribute as
the type of modeling analysis
and click Next.
4. Click the first drop-down
menu and click the results
from an original or advanced
Huff model. If you have
preselected particular trade
areas, the check box will be
visible and available to
check.
Click the second drop-down
menu and click the field you
want to use in creating the
trade areas. In the case of the
Huff models you have
created, this will probably be
the GM_PROB field. Click
Next. u
265
3/15/2007, 3:28 PM
 5. Click the number of probabil-
ity rings you want and type
the probability using decimal
points (for example, enter
60% as .60). Statistics are
shown with the Min, Max, and
Mean probabilities for your
reference. You have the
option of clicking the box to
Create donut trade areas.
Click Next.
6. Type a name in the text box
to save the new probability
trade areas and type any
comments, then click Finish.
Your new trade area layer is
created and displayed on the
map.

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 Spatial overlay
The Spatial Overlay tool
extracts data from one layer and
joins it to another layer.
1. Click the Business Analyst
drop-down menu and click
Tools, then click Spatial
Overlay.
The Spatial Overlay Wizard
opens. u

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 2. Click the Input Data Layer
drop-down menu and click
the layer that contains the
data to be extracted. Click the
Overlay Layer drop-down
menu and click the layer that
inherits the data, then click
Next.
3. Click one or more fields from
the column on the left and
click the single Right arrow to
move them to the column on
the right. To click more than
one field at a time, hold down
the Ctrl key and click the
desired fields. u

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 4. Type a name for the new
analysis in the text box, type
any comments in the Com-
ments text box, then click
Finish.
The Attributes of Spatial
Overlay dialog box opens.

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 Find similar
The Find Similar tool ranks
trade areas based on similarity
defined by a number of
variables you select.
2. Click the first drop-down
See Also
See Chapter 11, ‘Analysis’, for
more information on the Find
Similar tool.
1. Click the Business Analyst
drop-down menu and click
Tools, then click Find Similar.
The Find Similar Wizard
opens.
menu and click the layer
containing sites or trade
areas to be scored.
Choose the buffer distance
around each site. To do this,
type a value in the text box,
then click the drop-down
menu and click the distance
units.
Choose the master site to
calculate similarity against. To
do this, click the drop-down
menu and choose from the
list.
Choose the level of geogra-
phy to summarize data with.
To do this, click the drop-
down menu and choose from
the list, then click Next. u

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 3. Choose the method you want
to use for Find Similar. Click
Principal Component
Analysis or Conventional
Find Similar method.
4. Set the PCA Parameters.
Type a value in the text box
to set the number of sites you
want to rank.
5. Click one or more fields you
want to use. To click more
than one field at a time, hold
down the Ctrl key and click
the desired fields. u

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 6. Type a name for the new
analysis in the text box, type
any comments in the Com-
ments text box, then click
Finish.
Your results are displayed on
the map.

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 Market Ranking
report
The Market Ranking report
Wizard allows you to view an
interactive table of geographies
ranked by one or more
variables.
1. Click the Business Analyst
drop-down menu and click
Tools, then click Market
Ranking Report.
The Market Ranking report
Wizard opens.
2. Click the first drop-down
menu and click the layer for
market ranking. Click the
second drop-down menu to
specify the name field, click
the last drop-down menu and
click the primary field for
ranking, then click Next. u

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 3. Check the Would you like to
rank with percentages?
check box to calculate the
percentage based on the
primary rank variable you
selected in step 2, then click
the drop-down menu and
click the field you want to use
as the base in the percent-
age calculation.
To limit the number of
features that rank first, check
the Limit the number of
features for ranking to first
check box, then click a value
from the drop-down menu.
Click Add additional vari-
ables to ranking report to
rank with more than one
variable. Click the variables
you want to add from the left
column, then click the Right
arrow button to move them to
the right column.
When you’re finished making
your selections, click Next.
4. The Market Ranking report is
displayed and populated with
values. Click Next. u

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 5. Click Generate Report; type a
report name in the text box
and optionally a report title;
choose if you want to view,
export, or print the report;
then click Finish.

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 Site prospecting
This section shows you how to
perform site prospecting in a
number of different ways, such
as using the Site Prospecting
tool, performing site prospect-
ing from the Business Analyst
drop-down menu, and using the
Site Prospecting context menu.
1. Click the Business Analyst
drop-down menu and click
Tools, then click Site Pros-
pecting to expand the menu.
Click the Site Prospecting
command you want to use:
Find point by address, Input
coordinates, Select Point on
the Map, or Use selected
point.

You can perform site prospect- You can also click the Site
ing by clicking the Site Pros- Prospecting tool on the
pecting tool on the Business Business Analyst toolbar to
Analyst tools menu, by clicking select a point on the map.
the Business Analyst drop- The next steps depend on
down menu and selecting Site which site prospecting option
Prospecting, or by using the you selected above. The
ArcMap Find tool. following sections provide
When you select Site Prospect- instructions for each option. u
ing under the Business Analyst
drop-down menu, you have the
option to perform site prospect-
ing by inputting an address,
inputting coordinates, selecting
a point on the map, or using a
selected point. When you click
the Site Prospecting tool on the
Business Analyst toolbar, you
can click directly on the map or
you can right-click anywhere on
Site Prospecting tool
the map to open a context menu
with the option to perform site
prospecting by using a selected
point or by inputting an
address or coordinates.

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 Tip
Geocoding options
Click the Options button on the Site
Prospecting Wizard address input
screen; the Geocoding Options
dialog box opens. This dialog box
allows you to view and change
settings and add or remove
outputs.
TOOLS
Ch12.pmd 277
Find point by address
1. Click Find point by address
from the Site Prospecting
menu; the Site Prospecting
Wizard opens. Type the
address of the site you want
to prospect, then click Next.
2. Click Simple Ring, Drive
Time, or Threshold Ring to
define the prospecting area
around the site you want to
prospect, then click Next.
Each of these analyses is
described in detail in
chapter 7.
3. This step depends on which
option you selected in step 2.
These options are described
in detail on the following
pages. u
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3/15/2007, 3:28 PM
 If you selected Simple Ring
a. Click the number of rings
you want to create for each
store, then type a value for
each ring in the text boxes.
b. Click the distance units
from the drop-down menu,
click Remove Overlap or
Donut to define the trade
areas, then click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Drive Time
a. Click the number of drive-
time trade areas you want
to create, then type a value
for each drive time in the
text boxes.
b. Click the Measure Units
drop-down menu and click
the distance units you want
to use.
c. Optionally, complete the
Traversed streets and
Drive Time Type sections,
then click Next.
d. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Threshold
Ring
a. Click the threshold layer
from the drop-down menu,
choose the field to
aggregate from the second
drop-down menu, and click
Next.
b. Click the number of rings
you want to create, and
type a value for each ring
in the text boxes. You can
check the Donut box to
define the trade areas.
Click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map.

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 Input coordinates
1. Click the Business Analyst
drop-down menu and click
Tools, then click Site Pros-
pecting to expand the menu
and click Input coordinates.
The Site Prospecting Wizard
opens.
2. Type the longitude and
latitude in the text boxes,
then click Next.
3. Click Simple Ring, Drive
Time, or Threshold Ring to
define the prospecting area
around the site you want to
prospect.
4. This step depends on which
option you selected in step 3.
These options are described
in detail on the following
pages. u

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 If you selected Simple Ring
a. Click the number of rings
you want to create for each
store, then type a value for
each ring in the text boxes.
b. Click the distance units
from the drop-down menu,
click Remove Overlap or
Donut to define the trade
areas, then click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Drive Time
a. Click the number of drive-
time trade areas you want
to create, then type a value
for each drive time in the
text boxes.
b. Click the Measure Units
drop-down menu and click
the distance units you want
to use.
c. Optionally, complete the
Traversed streets and
Drive Time Type sections,
then click Next.
d. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Threshold
Ring
a. Click the threshold layer
from the drop-down menu,
choose the field to
aggregate from the second
drop-down menu, and click
Next.
b. Click the number of rings
you want to create, and
type a value for each ring
in the text boxes. You can
check the Donut box to
define the trade areas.
Click Next. u

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 c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map.

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 Select point on the map
1. Click the Business Analyst
drop-down menu and click
Tools, then click Site Pros-
pecting to expand the menu.
Click Select Point on the
Map.
A black circle appears on the
map. When you move the
mouse, the circle moves
with it.
2. Move the circle to the area
you want to prospect and
click once with your mouse.
The Site Prospecting Wizard
opens.
3. Click Simple Ring, Drive
Time, or Threshold Ring to
define the area around the
site you want to prospect.
4. This step depends on which
option you selected in
step 3.
These options are described
in detail on the following
pages. u

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 If you selected Simple Ring
a. Click the number of rings
you want to create for each
store, then type a value for
each ring in the text boxes.
b. Click the distance units
from the drop-down menu,
click Remove Overlap or
Donut to define the trade
areas, then click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Drive Time
a. Click the number of drive-
time trade areas you want
to create, then type a value
for each drive time in the
text boxes.
b. Click the Measure Units
drop-down menu and click
the distance units you want
to use.
c. Optionally, complete the
Traversed streets and
Drive Time Type sections,
then click Next.
d. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Threshold
Ring
a. Click the threshold layer
from the drop-down menu,
choose the field to
aggregate from the second
drop-down menu, and click
Next.
b. Click the number of rings
you want to create, and
type a value for each ring
in the text boxes. You can
check the Donut box to
define the trade areas.
Click Next. u

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 c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map.

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 Use selected point
1. Click the Business Analyst
drop-down menu and click
Tools, then click Site Pros-
pecting to expand the menu
and click Use selected point.
The Site Prospecting Wizard
opens.
2. Click Simple Ring, Drive
Time, or Threshold Ring to
define the prospecting area
around the site you want to
prospect.
3. This step depends on which
option you selected in step 2.
These options are described
in detail on the following
pages. u

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 If you selected Simple Ring
a. Click the number of rings
you want to create for
each store, then type a
value for each ring in the
text boxes.
b. Click the distance units
from the drop-down menu,
click Remove Overlap or
Donut to define the trade
areas, then click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Drive Time
a. Click the number of drive-
time trade areas you want
to create, then type a value
for each drive time in the
text boxes.
b. Click the Measure Units
drop-down menu and click
the distance units you want
to use.
c. Optionally, complete the
Traversed streets and
Drive Time Type sections,
then click Next.
d. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Threshold
Ring
a. Click the threshold layer
from the drop-down menu,
choose the field to
aggregate from the second
drop-down menu, and click
Next.
b. Click the number of rings
you want to create, and
type a value for each ring
in the text boxes. You can
check the Donut box to
define the trade areas.
Click Next. u

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 c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map.

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 Select the Site
Prospecting tool on the
Business Analyst toolbar
1. Click the Site Prospecting
tool on the Business Analyst
toolbar; a black circle Site Prospecting tool
appears on the map. When
you move the mouse, the
circle moves with it.
2. Move the circle to the area
you want to prospect and
click once with your mouse.
The Site Prospecting Wizard
opens.
3. Click Simple Ring, Drive
Time, or Threshold Ring to
define the area around the
site you want to prospect.
4. This step depends on which
option you selected in
step 3.
These options are described
in detail on the following
pages. u

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 If you selected Simple Ring
a. Click the number of rings
you want to create for each
store, then type a value for
each ring in the text boxes.
b. Click the distance units
from the drop-down menu,
click Remove Overlap or
Donut to define the trade
areas, then click Next.
c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Drive Time
a. Click the number of drive-
time trade areas you want
to create, then type a value
for each drive time in the
text boxes.
b. Click the Measure Units
drop-down menu to
choose the distance units
you want to use.
c. Optionally, complete the
Traversed streets and
Drive Time Type sections,
then click Next.
d. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map. u

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 If you selected Threshold
Ring
a. Click the threshold layer
from the drop-down menu,
choose the field to
aggregate from the second
drop-down menu, and click
Next.
b. Click the number of rings
you want to create, and
type a value for each ring
in the text boxes. You can
check the Donut box to
define the trade areas.
Click Next. u

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 c. Type a name for the new
trade area, type any
comments, then click
Finish.
The results are displayed
on the map.

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 Store prospecting
Business Analyst provides a
powerful tool to search for new
sites for your operation. It
summarizes underlying demo-
graphics around possible new
sites for comparison and
analysis. You can prospect a
site by typing in a street
address, for example, if you
know that a specific property is
coming up for sale or lease. The
Site Prospecting tool also
provides this capability in a
quick, easy operation performed
on a single site. The Store
Prospecting Wizard is most
commonly used for accessing a
database of potential store
locations, although it is also
capable of performing the
function for a single site. You
can prospect a number of sites
by starting with a layer of
points contained in a layer, for
example, if your real estate
department has identified a
number of possible expansion
sites in a market. You would
then generate demographic
reports to compare sites, then
possibly use the Find Similar
Wizard to rank the sites against
a known good site.
Once sites are identified, the
Analysis Wizard generates
either a simple ring; a drive-time
area around the potential site or
sites based on a parameter u

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 that you provide (radius or
minutes); or a threshold ring
based on population,
households, total housing
units, number of businesses, or
any other variable you choose
to use. The exact value may be
based on data collected for
different stores—for example,
most of your customers live
within two miles or four minutes
in similar markets—or an
estimate developed for
comparison. For example, you
can determine the population
within a two-mile ring for all
points being analyzed.

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 Using a store
layer
You can prospect a number of
sites by starting with a layer of
stores you have set up for use
in Business Analyst.
Tip
Threshold rings are usually
calculated using the Block Point
layer and one of the demographic
Tip
variables collected at that level
(Population, Households, or
Housing Units). Business Analyst
provides business counts as well.
You can also use any other variable
and Business Analyst will use a
method of block point aggregation
to sum the information.
TOOLS
Ch12.pmd 303
Creating a store
prospecting trade area
using a store layer
1. Click the Business Analyst
drop-down menu and click
Tools, then click Store
Prospecting to expand the
menu. Click Using a store
layer.
The Trade Area Wizard
opens.
2. Click the drop-down menu
and click the layer containing
the potential sites.
3. Click the second drop-down
menu and click the field that
contains the site ID, then click
Next. u
303
3/15/2007, 3:28 PM
 4. Choose how you want to
define the prospecting area
around the site of interest by
clicking Simple Ring, Drive
Time, or Threshold Ring, then
click Next. For simple rings
and drive times, skip to
step 6.
5. For threshold rings, click the
layer and field to be aggre-
gated around each of your
site locations. Click the first
drop-down and click the field
to be aggregated.
6. Choose how many rings you
want to create for each store,
1,2,3, or More, then type a
value for each ring in the
next boxes.
7. Click the Distance Units
drop-down menu to choose
a distance from the list. u

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 8. Type a name for the new
trade area in the text box
and type any comments,
then click Finish.
Your new trade area is
created and displayed on
the map.

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 Entering store
addresses
You can also enter individual
store addresses to be used in
assessing market potential of
each store.
Creating a store
prospecting trade area
by entering store
addresses
1. Click the Business Analyst
drop-down menu and click
Tools, then click Store
Prospecting to expand the
menu. Click By entering store
addresses.
The Trade Area Wizard
opens.
2. Click the Add button, and the
Geocode one address dialog
box opens.u

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 Tip
Threshold rings are usually
calculated using the Block Point
layer and one of the demographic
variables collected at that level
(Population, Households, or
Housing Units). Business Analyst
provides business counts as well.
You can also use any other variable
and Business Analyst will use a
method of block point aggregation
to sum the information.
TOOLS
Ch12.pmd 307
3. Type your store address and
click OK to close the dialog
box. To add another address,
click the Add button again
and type another store
address. When you’re
finished, click Next.
4. Choose how you want to
define the prospecting area
around the site of interest by
clicking Simple Ring, Drive
Time, or Threshold Ring,
then click Next. For simple
rings and drive times, skip to
step 6.
5. For threshold rings, click the
layer and field to be aggre-
gated around each of your
site locations. Click the first
drop-down and click the field
to be aggregated. u
307
3/15/2007, 3:28 PM
 6. Choose how many rings you
want to create for each store,
1, 2, 3, or More, then type a
value for each ring in the text
boxes.
7. Click the Distance Units
drop-down menu to choose a
distance from the list.
8. To define the trade area,
click either Remove Overlap
or Donut, then click Next.
Remove Overlap will use a
straight line to connect the
intersecting edges of any two
rings that overlap. Donuts
include only the values
between rings, center to
ring 1 boundary, ring 1
boundary to ring 2 boundary,
and so forth.
For drive times, you can
display traversed streets as a
layer or create a detailed
border for each drive time
area.
9. Type a name for the new
trade area in the text box
and type any comments,
then click Finish.
Your new trade area is
created and displayed on
the map.

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 Using a table of
store addresses
This is similar to using a store
layer except in this wizard, the
step of geocoding the database
is also performed. This converts
your table into a spatially
referenced layer on the map.
TOOLS
Ch12.pmd 309
Creating a store
prospecting trade area
using store addresses
1. Click the Business Analyst
drop-down menu and click
Tools, then click Store
Prospecting to expand the
menu. Click Using a table of
store addresses.
The Trade Area Wizard
opens.
2. Choose where your tabular
data is located by clicking In
a file on my computer or In
my current map table of
contents, then click Next.
3. Click the browse button to
browse to the location of your
tabular data and click next u
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 Tip
Threshold rings are usually
calculated using the Block Point
layer and one of the demographic
variables collected at that level
(Population, Households, or
Housing Units). Business Analyst
provides business counts as well.
You can also use any other variable
and Business Analyst will use a
method of block point aggregation
to sum the information.
310
Ch12.pmd 310
4. For threshold rings, click the
layer and field to be
aggregated around each of
your site locations. Click the
first drop-down menu and
click the Threshold layer.
Click the second drop-down
menu and click the field to be
aggregated.
5. Choose how many rings you
want to create for each store,
1,2,3 or More, then type a
value for each ring inthe next
text boxes. u
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 6. Click the Distance Units
drop-down menu to choose
a distance from the list.
7. To define the trade area,
click either Remove Overlap
or Donut, then click Next.
Remove Overlap will use a
straight line to connect the
intersecting edges of any
two rings that overlap.
Donuts include only the
values between rings, center
to ring 1 boundary, ring 1
boundary to ring 2 boundary,
and so forth.
For drive times, you can
display traversed streets as
a layer or create a detailed
border for each drive time
area. You can also choose
the Street Map Drive Time
option.
8. Type a name for the new
trade area in the text box
and type any comments,
then click Finish.
Your new trade area is
created and displayed on
the map.

TOOLS 311

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Ch12.pmd 312 3/15/2007, 3:28 PM
 Finding a route
IN THIS CHAPTER
13
When you want to know how to get somewhere, a map can provide a lot of
information. But what about when you want to know the shortest way to
• The Find Route Wizard get there? Particularly if your business has more than one stop to visit, it’s
often impossible to choose the most efficient route just by looking at a map.
• Pointing and clicking on your map
to assign stops The Find Route Wizard can help you:
• Find the shortest way to get somewhere or the shortest way to visit
• Using a point layer or table of
your stops several locations.
• Determine the best sequence to visit those stops.
• Using addresses or ZIP Codes of
your stops • Make a map showing the shortest travel route.
• Create a list of travel directions to use when driving a route.
• Using a point graphic or feature to
assign stops You can make a list of the stops to be calculated along your route in several
ways: pointing and clicking on the map, entering the address and ZIP Code
of the stop, typing the x,y coordinates of the stop, choosing a point layer of
stops, selecting a point feature or features, selecting a point graphic or
graphics, or selecting a table of stops that have been added to ArcMap. Use
one method or a combination of several.
For the Find Route Wizard to be available, the Streets layer must be added
to your map, but it does not have to be visible.

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 The Find Route Wizard
The Find Route Wizard allows you to find routes between points select, or you can find a route from point to point based on an
using a variety of methods. You can find an optimized route, order you select. You can set the points, or stops, by clicking the
which is the shortest travel distance between the points you map, by adding them from a layer, or by geocoding.

Check to add graphic point Edit symbols used for

or callout for each stop stops and barriers

Add a stop

Pick a stop
Add stops
from a layer
Move stops up or
Select
down to place them
quickest
in route order
or shortest
Set Properties route
Zoom to stops Use more
Pan to stops or less
highways
Remove stops
Remove all stops
Load stop list
Save stop
Order
stops
to find
most
efficient
Do not route
Check to have
add
route return to stop
results to Add route and
upon completion Choose the map stops as map
return stop graphic

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 The Define Barriers tab is a dialog to add barriers to your The Directions tab provides a listing of driving directions that
route. This can be done by using point graphics you have can be printed, copied to the clipboard, or used to zoom to a
selected on the map or by choosing point feautres from a particular route segment or the entire route.
layer.

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 Pointing and
clicking on your
map to assign
stops
You can create stops by
pointing and clicking on your
study area. This is helpful if
you don’t know the exact
address of the stop but can
place it visually. The Find Route
Wizard adds the stop to your
map and gives you the address
closest to where you clicked.
Tip
Finding the best route
If you want the order of the stops
on the route to be determined by the
shortest travel distance, click
Sequence stops automatically to
optimize route on the Options tab.
Tip
Renaming stops
After adding stops, you can rename
them by clicking the stop and
clicking the Rename button.
Tip
Calculating the route using
a specific order of stops
If you want the route calculated
using a specific order of stops,
make sure the list shows that order.
316
Ch13.pmd 316
1. Open the study area for
which you want to find a
route and zoom to the area of
interest.
2. Click the Business Analyst
drop-down menu and click
Tools, then click Find Route.
3. Click the Define Stops tab.
4. Click the arrow button.
5. Click the map where you
want to place a stop. A stop is
added to the map, and the
closest street address
appears in the list.
6. Follow steps 3–5 to add more
stops.
7. To move a stop up or down in
the routing order list, click the
stop in the list (the corre-
sponding stop on the map is
highlighted in yellow), then
click the up or down arrow
buttons.
8. To remove a stop, click the
stop in the list, then click
Remove.
9. If you want the route to end at
one of the stops previously
listed, check the Return To
box, then select the stop from
the drop-down menu.
10. Click Find Route.
11. Click the View Directions tab
to see detailed directions for
your route that includes
distances in miles.
USING ARCGIS BUSINESS ANALYST
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 Using a point
layer or table of
your stops
You can use a layer or table of
points in your study area as
stops. For example, you could
use this option if you want to
find the quickest delivery route
that visits all your stores. Or
perhaps you want to find the
most efficient way for your
sales representative to check in
with the most valued customers
in her territory. You could select
those customers in the layer,
then calculate the route.
Tip
Finding the best route
If you want the route drawn based
on the shortest travel distance,
check the box to Sequence stops
automatically to optimize route.
Tip
Renaming stops
After adding stops, you can rename
them by clicking the stop and
clicking the Rename button.
FINDING A ROUTE
Ch13.pmd 317
1. Open the study area for
which you want to find a
route.
2. Click the Business Analyst
drop-down menu and click
Tools, then click Find Route.
3. Click the Define Stops tab,
then click the Get Points
button.
The Choose Point Features
dialog box opens.
4. Click the drop-down arrow to
choose the point layer
containing the points to be
used as stops.
If you want the route to use
every point in the layer, click
Get All Points. If you want to
use only selected stops, click
Get Selected Points.
5. Click Add stops; the stop is
added to the list of stops in
the Find Route dialog box.
6. To move a stop up or down in
the routing order list, click the
stop in the list (the corre-
sponding stop on the map is
highlighted in yellow), then
click the up or down arrow
buttons.
If you want the route calcu-
lated using a specific order of
stops, make sure the list
shows that order. u
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 7. To remove a stop, click the
stop in the list and click
Remove.
8. Click Find Route. The wizard
calculates the route for you
and draws it on the map.
9. Click the Directions tab to
see detailed directions for
your route that includes
distance in miles.

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 Using addresses 1. Open the study area for
which you want to find a
or ZIP Codes of route.

your stops 2. Click the Business Analyst

If you know the addresses or
ZIP Codes of your stops, the
Find Route Wizard will place the
stops on the map for you using
the New Stop button.
Tip
Finding the best route
If you want the route drawn based
on the shortest travel distance,
click Sequence stops automatically
to optimize route on the Options
tab.
drop-down menu and click
Tools, then click Find Route.
3. Click the Define Stops tab,
then click the Add Stop
button.
4. If using an address or ZIP
Code, input address and ZIP,
address/city/state, or ZIP. If
you only enter the ZIP Code,
the point will be located at
the ZIP Code center.
5. Click Find.
6. Optionally, add additional
stops to the list. u

Tip
Renaming stops
After adding stops, you can rename
them by clicking the stop and
clicking the Rename button.

Tip
Adding stops
Any stop added must be contained
in the active analysis extent—that
is, when using Current Extent of
Map, the stop must be within the
current map area.

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 7. The address appears at the
bottom of the dialog box.
Right-click the address to
view the context menu and
choose Add as Stop to Route.
The address is added as a
stop to the list.
8. To move a stop up or down in
the listed routing order, click
the stop in the list (the
corresponding stop on the
map is highlighted in yellow),
then click the up or down
arrow buttons.
If you want the route calcu-
lated using a specific order of
stops, make sure the list
shows that order.
9. To remove a stop, click the
stop in the list and click
Remove.
10. Click Find Route. The wizard
calculates the route for you
and draws it on the map.
11. Click the View Directions tab
to see detailed directions for
your route that includes
distances in miles.

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 Using a point
graphic or feature
to assign stops
You can use point graphics or
point features as stops on your
route. To do this, the graphic or
feature must first be selected on
the map or in the layer’s
attribute table.
Tip
Renaming stops
After adding stops, you can rename
them by clicking the stop and
clicking the Rename button.
Tip
Finding the best route
Click Quickest Route to find the
fastest travel time. Select Shortest
Route to find the shortest straight-
line distance.
Tip
Selecting features and
graphics
Point graphics that aren’t part of a
layer but are drawn on the map
can be selected using the Select
Elements tool on the Drawing
toolbar. Point features can
alternatively be selected by clicking
the feature in the layer’s attribute
table. You can select multiple points
by pressing Ctrl while clicking
selections.
FINDING A ROUTE
Ch13.pmd 321
1. Open the study area for
which you want to find a
route.
2. To select point features that
are found in a layer, click the
Selection menu and click Set
Selectable Layers to choose
the desired layer. You can
then select features on the
map using the Select
Features button on the
ArcMap Tools toolbar. Press
the Shift key to select
multiple points.
To select graphics, you must
first use the Drawing tool
located on the Drawing
toolbar to draw one or more
graphics on the map. To
select graphics that are
found in a layer, click the
Selection menu and click Set
Selectable Layers to choose
the desired layer. You can
then select graphics on the
map using the Select
Elements tool on the ArcMap
Tools toolbar. Press the Shift
key to select multiple
graphics.
3. Click the Business Analyst
drop-down menu and click
Tools, then click Find Route. u
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3/15/2007, 3:32 PM
 4. Click the Define Stops tab
and click the Get Points
button. Click Get Selected
Points Graphic(s) or Get Point
Feature(s), and all selected
graphics or features will be
added to the route.
If you select Get Point
Feature(s), the Choose Point
Features dialog box opens.
Choose the layer containing
the points you want to use as
stops from the drop-down
menu, then click Get All
Points or Get Selected Points.
Click the Add stops button.
5. To move a stop up or down in
the listed routing order, click
the stop in the list (the
corresponding stop on the
map is highlighted in yellow),
then click the up or down
arrow buttons.
6. To remove a stop, click the
stop in the list and click
Remove.
7. Click Find Route and the
wizard calculates the route
and draws it on the map.
8. After the route is drawn, you
can deselect the selected
points by going to the
Selection menu and clicking
Clear Selected Features.
9. Click the View Directions tab
to see detailed directions for
your route that includes
distances in miles.

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 Reports and batch tasks
IN THIS CHAPTER
• Running reports for single or
multiple areas
• Running a Locator report
• Running a Market Ranking report
• Running a Wind Rose report
• Running a Geographic Customer
Summary report
• Running an Average Drive Time
report
• Running a Summarize Points
report
• Running a map layout report
• Managing existing reports
• Creating custom report templates
• Running and managing batch
tasks
Ch14.pmd 323
14
Every businessperson knows the significance of a good report. Reports
present the facts and figures behind your analysis and are invaluable
companions to the maps you’re creating.
The reports and batch tasks toolset provides tools to generate reports based
on standard demographic or custom data, allowing market ranking and
geographic analysis, site location, customer distribution, and standard
demographic reports.
Crystal Reports by Business Objects formats and presents the reports. If
you want to work with the summarized data in ArcGIS or other
applications, you can have a table (.dbf) added to ArcGIS. You must have a
printer connection (a default printer) for your computer for Crystal Reports
to work. When working with tables, you can use the Tools menu to create a
report or to proceed through the Crystal Reports wizard.
Report templates are stored in C:\Program Files\ArcGIS\Business
Analyst\Datasets\Report Templates or in the directory where ArcGIS was
installed.
When creating a custom report on a layer, the number of fields must be
limited to 255. To check this, right-click the layer name, click Properties,
then click the Fields Visibility tab. The desired fields for your reports should
be in the visible fields column, and the count should be 255, or less.
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 Running reports 1. In ArcMap, open the map you
want to use to create a
for single areas report.
2. Click the Business Analyst
A number of standard demo-
drop-down menu and click
graphic report templates are
Reports.
provided with Business
Analyst. For more information 3. Click Run reports and click
on these reports, see the Next.
appendix. You can also create a You are given the option to
general report that contains all run a report for a single area,
categories. The Report Wizard run a report for multiple
uses summary data to create areas, or run a point- and
standard reports. ranking-based report.
Choose a layer in your map with 4. Click Run reports for a single
boundaries, such as drive-time area and click Next.
rings, equal competition areas,
or even your own custom drawn 5. Choose the boundary layer
trade area. The demographics for which you want to run a
that fall inside the boundaries of report. u
the layer will be summarized in
the report.
For example, if you created a
Population report using simple
ring trade areas as the layer with
boundaries, your report would
summarize the population data
for each ring in the layer.
You can also create a report
based on only certain bound-
aries of a layer. For instance,
you might want to create a
report using simple rings as the
layer with boundaries but you
might only be interested in one
or two of those rings. u

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 You might also want to run a
report for multiple areas in
different layers all at the same
time. For instance, you could
have a layer that consists of a
simple one-mile ring and
another layer that contains a 10-
minute drive time. You can now
load both areas at the same
time.
See Also
For more information on creating
a custom report, see ‘Creating
custom report templates’ in this
chapter.
REPORTS AND BATCH TASKS
Ch14.pmd 325
Note: The Select ID field
option only appears when
you load a boundary layer
that was not created within
the Business Analyst Trade
Area wizards.
6. Click Next.
7. Choose the demographic
report you want to run. You
can choose one or more.
Click the buttons in the
middle to navigate the
template from one side to the
other. Click Next or the
Options button.
8. You can click the Options
button to change the geogra-
phy by which the report will
be summarized, where the
report will be exported, as
well as the format if you need
the data in a table exported.
These options can be saved
permanently, or you can
keep them for this time only. u
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3/15/2007, 3:45 PM
 Tip
Creating a stitched report
You have the option to select Create
single report file before completing
the Reports dialog. This function is
helpful when you want to create two
or more reports for the same
analysis, but do not want many
individual files. The output is a
combined set of reports in one file.
You can then export to other
formats from the Crystal Reports
viewer.
9. Click Finish.
326
Ch14.pmd 326
How do you want to view the
final report? The View reports
on screen option will open
the report for viewing when it
is finished.
Export reports to file will
export the report to the
desired output using the
Options button. Print reports
will print the reports to the
desired printer. Create single
report file will combine
multiple reports for the same
analysis into a single report
within the Crystal Reports
viewer. You can choose all or
one of the options.
You can also save this
analysis to run at a later time.
Click Defer this task to the
Batch Queue if desired and
give it a batch name.
USING ARCGIS BUSINESS ANALYST
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 Running reports 1. Click Run reports for multiple
areas and click next.
for multiple areas 2. Click the plus button to add
your boundary layers. You
You might want to run a report
can delete and reorder the
for two separate boundary
layers as you like. Click
layers at one time. The Run
Next. u
reports for multiple areas option
allows you to do this. You can
run a simple ring layer and a
drive-time layer at the same
time.

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 3. You have the option to stitch
the report templates into one
or keep them separate. You
can also create one single
report or create a report for
each type. Click Finish.

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 Running a 1. Click Run point and ranking
based reports and click Next.
Locator report 2. Choose to run a Locator
Report and click Next. u
Do you ever want to know who
your closest competitors are or
where their store locations are
compared to your store
locations? The Locator report
allows you to do this by telling
you how many competitors fall
within X miles of your store.
You can also ask the software
to run this report to list the X
number of closest stores to
your locations.
This report can be run for any
two point layers in your map.
You can run this report to tell
you the closest ZIP centroids to
your center point. All you need
are two point layers, which do
not have to be store or
customer layers.

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 3. Select your point layer or
center point. This will most
likely be your store point or
points. You can choose a
store layer with multiple
points. Click Next.
4. Select the distance calculate
method, then click Next. u

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 Tip
Locator report page layout
A portrait report template only
holds a limited number of charac-
ters per field. A landscape report
can hold more information.
Tip
Locator report fields and
headers
To fill out the Headers and Fields
sections, you should have a good
idea of what fields exist in your
customer/competitor file.
REPORTS AND BATCH TASKS
Ch14.pmd 331
5. Choose Portrait or
Landscape.
6. Type in your desired header
fields that will show up on
your Locator report.
7. Click Next.
8. Choose to generate the
report and give it a name. You
can also have Business
Analyst create an output
layer.
9. Click Finish.
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3/15/2007, 3:45 PM
 Running a Market
Ranking report
Do you know how all the ZIP
Codes in San Diego rank based
on income? Which ZIP Code
has the highest median house-
hold income? This report will
allow you to see this in a report
template.
332
Ch14.pmd 332
1. Choose the Market Ranking
report and click Next.
2. Select the boundaries you
want to create a Market
Ranking report.
Note: Click Only show
Business Analyst data layers
(BDS) to help minimize the
list of layers.
3. Choose the name field as
well as the variable you want
to rank. Click Next. u
USING ARCGIS BUSINESS ANALYST
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 4. You are given the option to
create a percentage based
on a variable. You can also
limit the results to the top X
number of boundaries as
well as add variables to the
ranking reports.
The following steps are optional.
5. If you choose to add vari-
ables, click the desired field,
then click Next.
Note: This is limited to 10
additional fields. u

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 6. You will get an interactive
table that displays your
market ranking data by the
desired boundaries. You can
sort any of the fields by
clicking the table header. You
can also select one of the
items and zoom to the
location on the map.
7. Once satisfied with the table,
click Next. This screen will
allow you to generate the
report as well as create an
analysis layer. Click Finish.

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 Running a Wind 1. Choose to run the Wind Rose
report and click Next.
Rose report 2. Choose your store layer and
store layer ID field and click
The Wind Rose report allows
Next. u
you to see where your custom-
ers are coming from by sectors.
You can also see where most of
your sales are coming from by
creating customer-based
geographic sectors radiating
away from your store location.

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 3. Choose your customer layer
and choose a Store
Assignment option.
4. Optionally, you can choose a
volumetric field.
5. Choose the number of
sectors and click Next. u

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 6. Give the report a name and a
title and click Finish.
Note: You can also set this up
to run at a later date with the
batch option.

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 Running a 1. Choose to run a Geographic
Customer Summary report
Geographic and click Next.

Customer 2. Choose a customer layer and

click Next. u
Summary report
The Geographic Customer
Summary report allows you to
quickly get an idea of what your
customers look like
demographically.
This report only works on point
layers.

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 3. Give the report a name and a
title and click Finish.

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 Running an
Average Drive
Time report
The Average Drive Time report
calculates the average, min, and
max drive time for an existing
trade area polygon. The drive
time will be calculated from the
center point or the store
location to create the trade area.
1. Choose the Average Drive
Time report and click Next.
2. Select the trade area you
want to create an Average
Drive Time report for.
3. Choose the field that con-
tains the store ID.
4. Choose the field that con-
tains the trade area descrip-
tion. Click Next. u

Tip
This tool can be used to calculate
the average drive time for a
customer derived trade area.
Using this tool will help you
estimate how far customers travel
within a primary trade area. Once
this is determined, in a given
market, you can use the drive time
trade area tool to estimate a
primary trade area for a new store.

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 5. Check the option Use Store
Layer to calculate your drive
time, then select the relevant
store information in the drop-
down menus.
If you do not check Use Store
Layer, Business Analyst will
calculate the average drive
time from the center of the
trade area.
6. Select the distance units to
calculate the drive time.
7. Give the report a name and
titile and click Finish.

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 Running a 1. Choose to run a Summarize
Points report and click Next.
Summarize 2. Choose the point layer you
Points report want to summarize and
selcect the boundary layer
and boundary layer ID for
The Sumamrize Points report your analysis. Click Next. u
allows you to quickly total up
the number of business locations
within a given area and then
summarize site specific values
for your trade area or any other
polygon layer, such as sales
volume, total employees, or
number of transactions. The tool
summarizes points within a
polygon, for example, you can
run this report to calculate how
many customers are within each
ZIP Code.
This report only works on point
layers.

Tip
You can use this tool to calculate
the number of customers,
competitors, and businesses your
your trade areas. This tool can be
used with any Business Analyst
provided point layer
(i.e., businesses and shopping
centers) or your own point layers
(customers, competitors, and
so on).

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 Tip
If you have numerous variables
you can use the filter tool search to
find specific attribute fields.
4. Give the report a name and
REPORTS AND BATCH TASKS
Ch14.pmd 343
3. Choose the point layer
database variables you want
to summarize. You can
choose one or more. Click
the buttons in the middle
pane to navigate the variable
from one side to the other.
create an analysis layer if
needed, then click Finish. At
this dialog box you can also
create an analysis layer
(i.e., ZIP Codes with
customer summary).
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3/15/2007, 3:46 PM
 Running a map 1. Choose Create a report from
the current map layout and
layout report click Next.
2. Give the report a name and a
The map layout report allows
title and click Finish.
you to easily export the area of
the map that you are zoomed to
into a predefined report
template. Another option is to
export the map from ArcGIS, but
the formating of the map layout
report has the consistency of
the other reports available in
Business Analyst.

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 Managing 1. Choose to Open and
manage existing reports and
existing reports click Next.
2. Choose to view, delete, or
Business Analyst gives you the
rename a report.
opportunity to manage any of
the reports you have run in the
past. You can view the reports,
delete a report from your project
files, and rename a report and/or
title.

Tip
Using the different
managing views
You can view the reports you are
managing in two different ways,
Show All and Hide All.
Clicking the Show All button will
display reports grouped by
individual Projects in a tree view.
Clicking the Hide All button will
display all reports for the active
Project only.

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 Creating custom 1. Choose to create and
manage a custom report
report templates template and click Next.

using the 2. Choose to create template

and click Next. u
Advanced Editor
Business Analyst gives you the
opportunity to create custom
report templates to run using
your custom data or Business
Analyst data. The template can
be saved and used just like any
other template using the
advanced reports editor.

Tip
Custom Reporting tool
This is an easy way to interact with
the Crystal Reports software to
create a report that fits your needs.
The best way to use this tool is
through trial and error. If the first
report does not create the desired
formatting results, give it another
try. You will be surprised how easy
it is to create your own templates
once you get a handle on this tool.

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 Tip
Advanced Editor field
types
There are three types of cells in the
patterns supported by Advanced
Editor:
- static cells
- header cells
- value cells
Static cells (black):
1. They contain text showing that
their placeholders are designed
for automatic values (AREA_ID,
STORE_ID, and so on). These
cannot be altered by the user,
but they are presented in the
report.
2. They are used to provide ability
to collapse/expand sections in
Advanced Editor.
Header cells (blue):
These can be edited by the user.
Pattern format supports automatic
filling for headers when they are
associated with row/column of
value cells.
Value cells (green):
Accepts only summarizations
dragged and dropped from
summarizations tree/list and can be
formatted by the user as calcula-
tions of certain types.
REPORTS AND BATCH TASKS
Ch14.pmd 347
3. Choose the level of geogra-
phy you want to base your
custom report on from the
drop-down menu.
4. Choose a template that fits
your needs. Notice the field,
group, and field size
limitations.
5. Click Next to continue to the
next dialog box where you
can choose the available
report fields.
Alternatively, you can check
on Format template in
Advanced Editor and click
Next to continue directly to
the custom report editor.
6. If you continued to the dialog
box to choose the fields you
want to report on, add the
fields using the arrow
buttons. You can use the
Filter tool to help you search
for variables. Once you have
the desired number of
variables, check on Format
fields in Advanced Editor and
click Next.
If you chose to go directly to
the Advanced Editor, add
your report fields by dragging
and dropping and customize
the report to meet your
needs, then click Next. u
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3/15/2007, 3:46 PM
 Tip 7. Give your report a name and
title and click Finish.
Custom Reporting tool
This is a fun, new way to interact 8. A dialog box will prompt if the
with the Crystal Reports software report is created successfully.
to create a report that fits your Click OK and you can access
needs. This newly advanced editor it from the Reports wizard.
provides drag–drop functionality to
easily add data fields to your report
templates. Also available are many
common formatting options and
easy field calculation setup
(percentages, averages, indexes,
and custom scripts). You will be
surprised how easy it is to create
your own templates once you get a
handle on this tool.

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 Running and
managing batch
tasks
Business Analyst allows you to
run your entire batch tasks all
at once or one at a time—for
example, suppose you have to
run a large geocoding job as
well as create 50 or so report
templates and export them to
PDF. Set these up as a batch
process and run this when you
leave for lunch or for the night.
You will be able to work on
other things during the day and
not have your machine tied up
while processing data.
REPORTS AND BATCH TASKS
Ch14.pmd 349
1. Click the Business Analyst
menu and click Batch Tasks.
Whenever you choose to set
up a process to run as a
batch task, a pop-up
message appears regarding
the Batch Tasks queue. Click
OK. This is only for your
reference.
2. The Business Analyst Batch
Tasks dialog box allows you
to delete, rename, reorder,
and edit your batch tasks. You
can also load a batch task
from another computer or
export a batch task to use in
ModelBuilder.
3. You have the option to run
one or all batch tasks.
349
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Ch14.pmd 350 3/15/2007, 3:46 PM
 Setting Business Analyst preferences
IN THIS CHAPTER
15
The Business Analyst Preferences dialog box is accessed from the
Business Analyst drop-down menu. It can be used to change a variety of
• General tab settings that define the general state of working with the software. You can
change such things as the terminology used for customers and stores within
• Dataset tab the context of your own business, the default distance units, and the active
• Analyses tab
datasets. Many other default values are also available for change.
You will find it helpful to look through each of the Preferences tabs to see
• Misc tab what is available. You may find that changing items will make your work
• Data tab easier, but if not, you can always find items that increase your knowledge
of Business Analyst flexibility and functionality.
• Drive Time tab

• Segmentation tab

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 General tab
Use the General tab to view and
edit customer and store
references, set the output data
folder location to place the data
you create, define distance
units, and determine if you want
to show the quick-start tutorial
when you open the program.
Substituting your own
terms for customers and
stores
You can substitute other terms
for “customers” and “stores”
using the Preferences General
tab, for example, banks and
clients, hospitals and patients,
or preschools and children—
whatever fits your line of work.
The Preferences dialog box
customizes Business Analyst
for you, using the terms you
choose.
Tip
All of your store layers, customer
layers, analyses, and so on, are
stored and organized in this folder.
See the appendix for more details
about the My Output Data folder
and use of projects to organize
your work.
352
Ch15.pmd 352
Setting Business Analyst
preferences on the
General tab
1. To set Customer and Store
references, type the name
you want to use to refer to a
customer in the first text box
(Customer), then type the
plural of the name in the
second text box (Customers).
In the second set of text
boxes, type the name you
want to use to refer to a store
in the first text box (Store),
then type the plural of the
name in the second text box
(Stores).
2. To change the location of the
output data folder, click the
Browse icon and browse to
the location of the output
folder.
3. To set the default Distance
Units for all wizards, click the
drop-down menu and select
a unit from the list.
4. If you want the quick-start
tutorial to launch at startup,
check the check box.
5. Click OK to save your
preferences or click a
different tab to set other
preferences.
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 Dataset tab
Use the Dataset tab to select
the current dataset, view data
component locations, set the
geocoding service, and choose
the street network you want to
use.
The Dataset tab is used to set
locations for major data
components that come with the
product—that is, ESRI demo-
graphic data, infoUSA business
listings, Tele Atlas Street data,
and so on—as well as your
preferences for address locator
(geocoder). In most cases, you
will be using the USA
Geocoding Service provided
with Business Analyst.
SETTING BUSINESS ANALYST PREFERENCES
Ch15.pmd 353
Setting Business Analyst
preferences on the
Dataset tab
1. Click the Select current
dataset drop-down menu to
change the current dataset.
The Data Component
Locations are listed.
2. Click Choose a geocoding
service drop-down menu to
select a geocoding service,
or click the folder icon and
browse to the location of the
service.
The Business Analyst
USA Geocoding Service is
located in the
\ArcGIS\Business
Analyst\Data\USA Geocoding
Service folder.
3. Click the Streets Network
drop-down menu to change
the street network used in
routing and drive times.
4. Click OK to save your
preferences or click a
different tab to set other
preferences.
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3/15/2007, 3:51 PM
 Analyses tab
Use the Analyses tab to select
the trade area output style and
group layer and set the market
penetration ratio multiplier and
geoprocessing options.
The Analyses tab allows you to
set defaults for trade area
appearance and specify group
layer naming for organization of
customer, store, and analysis
layers that are added to the map
document.
Options are also provided that
affect market penetration and
geoprocessing.
Tip
The default market penetration
figure of 100 works well because
the results are shown as a
percentage. For example if you
have 500 customers within an area
containing 1,700 people, with the
ratio set to 100, the market
penetration rate is 29.4%.
354
Ch15.pmd 354
Setting Business Analyst
preferences on the
Analyses tab
1. In Trade Area Output Style,
check the Fill Trade Area
rings box.
It contains a Fill Rings box
that allows you to turn the
color fill inside trade areas on
and off. By default, these
areas are filled with transpar-
ent color. If you don’t want
any color, uncheck the Fill
Analysis rings box. If you
want color, check the box. You
can change the amount of
transparency or make the
colors opaque by right-
clicking the layer, clicking
Properties, and clicking the
Display tab. You can vary the
transparency from 0 percent
(opaque) to 100 percent
(invisible).
2. To add Business Analyst
output to a group layer, check
the check box.
Select whether or not to
update the name of the group
layer.
3. To set market penetration,
type a value in the Penetra-
tion ratio multiplier text box.
4. Set the geoprocessing
options as needed.
5. Click OK to save your
preferences or click a
different tab to set other
preferences.
USING ARCGIS BUSINESS ANALYST
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 Misc tab
This tab contains a check box
that allows you to turn the
automatic Spatial Reference
update on and off. There are
also check boxes to manage
items for Reports, Segmentation
Studies, and creating Study
Areas.
The Update Spatial Reference
setting (default projection)
automatically adjusts the map
projection so that local maps on
the East and West Coasts of the
United States maintain the
north orientation up, even when
you zoom in. If the Spatial
Reference update check boxes
are unchecked, the projection
that’s being used at that time
remains, regardless of how far
you zoom in or out. This will
result in the north direction
moving left or right of vertical
on your map.
For some other work in
ArcMap, you may want to
uncheck this box. In general, for
Business Analyst work, you will
want to leave this on. Other-
wise, your rings may look like
ellipses. The Warning Dialog
Help button contains more
detail about how this automatic
projection works.
SETTING BUSINESS ANALYST PREFERENCES
Ch15.pmd 355
Setting Business Analyst
preferences on the Misc
tab
1. Spatial Reference options
include:
• Use Business Analyst
default projection for new
Map documents
• Use Business Analyst
default projection for
existing Map documents
• Show warning when
starting ArcMap
To activate these options,
check the check boxes.
2. Under Report Settings check
Show callout bubbles in
reports if you want to you
want to see the informative
callouts in segmentation
reports.
3. Under Use of Generalized
Data, check on Use general-
ized geometry to build study
area shapes if you want fast
drawing, but more general
geographic boundaries. This
will increase the report
generating time in certain
analyses.
4. OK to save your preferences
or click a different tab to set
other preferences.
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3/15/2007, 3:51 PM
 Data tab
Use the Data tab to select the
output data format and the data
apportionment method.
Tip
You can select from three data
apportionment options to balance
differing needs for performance
and accuracy.
Hybrid: Recommended to provide
a combination of each method for
most scenarios
Block Apportionment: This gives
the highest degree of accuracy, but
slower overall performance
Cascading Centroid: Fastest
method for large datasets, but
sacrifices precision
Note: See Setting Business Analyst
preferences in the Desktop Help
for more information about the
Advanced option. Also examine the
context help by click the ? button in
the Data tab, then click on any one
of the data appotionment methods.
Additional information will pop up
on screen.
356
Ch15.pmd 356
Setting Business Analyst
preferences on the Data
tab
1. Click the drop-down menu to
select the output data format,
either shapefile, personal
geodatabase or file
geodatabase.
2. Click the Method for data
apportionment you want to
use in your analysis.
3. Click the Advanced... button
to further adjust the threshold
values, calculation methods,
and data layers.
4. Click OK to save your
preferences or click a
different tab to set other
preferences.
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 Drive Time tab
Use the Drive Time tab to select
the speed limits template.
You have choices for using
traffic volume templates for
light traffic, normal traffic, or
rush hour. You can also modify
speeds in any template and the
template name will change to a
custom template.
The Name field displays normal
posted speed limits to help in
comparison with streets, roads,
and major highways in your
area.
Tip
Modifying any of the values in
either Light, Normal, or Rush
Hour will automatically create a
Custom speed limits table.
SETTING BUSINESS ANALYST PREFERENCES
Ch15.pmd 357
Setting Business Analyst
preferences on the Drive
Time tab
1. To set the speed limit
options, click the drop-down
menu to select the speed
limits template.
2. Modify your street network
snap tolerances if necessary.
3. Click OK to save your
preferences or click a
different tab to set other
preferences.
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3/15/2007, 3:51 PM
 Segmentation tab
Use the Segmentation tab to set
Segmentation Module geo-
graphic profile methods,
settings, and report options.
358
Ch15.pmd 358
Setting Business Analyst
preferences on the
Segmentation tab
1. Click the drop-down menu to
select the which demo-
graphic geogaphy layer you
want to use in segmentation
analyses.
2. Within Segmentation
Geographic Profile Method,
choose the method you want
to use in your analysis.
3. Under Segmentation Settings
choose whether or not to use
the unclassified segment,
which is Tapestry Segment
#66.
4. Choose how the Segmenta-
tion bar chart widths are
scaled.
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 The ArcGIS 9.2 Business Analyst Importer

IN THIS CHAPTER
• Importing your study areas
16
The ArcGIS 9.2 Business Analyst Importer is a stand-alone application
that allows you to import study areas created using ArcGIS Business
Analyst 8.3, 8.3c, 9.0, or 9.1 into the ArcGIS 9.2 Business Analyst
environment. This chapter shows you how to perform tasks using the
importer.

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Ch16.pmd 359 3/16/2007, 10:18 AM

 Importing your 1. Click Start, point to ArcGIS,
point to Business Analyst,
study areas and click BA8 Importer.
2. Click the Browse button and
With ArcGIS 9.2 Business
navigate to the old output
Analyst, the output data
data folder. Click Next to
folder—for instance, C:/My
continue. u
Output Data—organization and
structure has changed. Instead
of being organized by study
areas, the output data folder is
now organized by Business
Analyst projects. If you still
have your old output data
folder saved, you can use the
Business Analyst 8 Importer to
copy any or all of this data into
the new output data folder
structure. Using the importer,
you can import all the study
areas and their components
(stores, customers, analyses,
and reports) at once. You can
also individually select which
study areas you want to import
as well as select specific
components within each study
area.

360 USING ARCGIS BUSINESS ANALYST

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 3. Select the study areas you
want to import, then click
Next. To select more than one
study area at a time, hold
down the Shift or Ctrl key
while selecting.
4. For each project listed, check
the project box to import all
the components, and click
the plus sign (+) next to the
project box to expand the list
of components. Check only
the components you want to
import. Click Finish to start
the import process.

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Ch16.pmd 362 3/16/2007, 10:18 AM
 Appendix
IN THIS CHAPTER This appendix contains the structure of the My Output Data folder. It also
shows you the various report templates you can use with Business Analyst
• My Output Data folder structure and provides frequently asked questions about using Projects in Business
Analyst.
• Report templates

• Use of Projects in ArcGIS

Business Analyst

363

appendix.pmd 363 3/16/2007, 10:36 AM

 My Output Data folder structure
The default location of the My Output Data folder is the same • Toolbox: Contains files for any models created using
drive where Business Analyst is installed. However, if you want geoprocessing tools.
the My Output Data folder somewhere else, you can change the • TradeAreas: Contains the .dbf, .lyr, .prj, .sbn, .sbx, .shp,
location using the Preferences dialog box. For more information .shp.xml, and .shx files that comprise your trade areas.
about changing the location of the My Output Data folder, see
the section in Chapter 4, ‘Creating a My Output Data folder on a
different drive’.
The structure of the My Output Data folder is organized with
folders for Projects, Report Templates, and Segmentation Studies
Custom Template—if you have the optional segmentation
module. Any Projects you create will have their own folder. All
Projects contain the folders shown at the right.
• Analyses: Contains information about the analyses you have
done. Included in each folder are .shp, .lyr, .dbf, and .shx files.
• BusinessAnalystTemp: Contains all the temporary .dbf, .shp,
.lyr, and .shx files.
• CustLayers: Contains all the geocoded customer files.
• Custom Data: Contains any of your own layers set up with the
Analysis Layer Setup wizard.
• Modeling: Contains any model calibration data and model
calculation results.
• Reports: Contains any Crystal Reports reports you’ve run.
• Segmentation: Contains all segmentation profiles, analyses,
studies, and target groups you’ve created.
• StoreLayers: Contains all the geocoded store files.
• StudyAreas: Contains the .dbf, .lyr, .prj, .sbn, .sbx, .shp,
.shp.xml, and .shx files that comprise your study areas.

My Output Data folder structure

364 USING ARCGIS BUSINESS ANALYST

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 Report templates
This section examines the various templates associated with the
report writing option within the Business Analyst extension. All
templates use geography data; therefore, all levels of geography
can be used in any of the predefined reports. Report templates are
stored in \ArcGIS\Business Analyst\
Datasets\ReportTemplates in the directory where ArcGIS was
installed. If you create custom reports and want them available for
future use, you must save them to the following directory:
\ArcGIS\Business Analyst\Datasets\
Report Templates\Custom.
The level of geography depends on the scale of the coverage
used for the report. For example, choosing a coverage at the block
group level will allow you to create a report at the block group
level. Similarly, you can create a report based on the shape of the
study area or a selected group of objects on the map. In this
example, the block groups within the selected coverage are
combined to create the totals in the report.
All reports summarize geography based on your input. A study
area is defined by the geography level selected during the
completion of the Create Study Area Wizard steps.
Business Analyst includes the following report templates that are
preset to make use of the demographic data provided. You can
use these templates as they are or revise them using the Crystal
Reports designer, which can be activated at the end of every
report wizard.
What is Tapestry?
The Community Tapestry segmentation system provides an
accurate, detailed description of America’s neighborhoods. U.S.
residential areas are divided into 65 segments based on
demographic variables such as age, income, home value,
APPENDIX
appendix.pmd 365
occupation, household type, education, and other consumer
behavior characteristics. To increase the data’s versatility and
analytical value, the Tapestry segments are organized into 12
LifeMode summary groups with similar demographics and
consumer patterns and 11 Urbanization summary groups with
similar levels of density.
Report descriptions
Tapestry Segmentation Area Profile
This report compares the Tapestry segmentation data groups
selected within the study area to the same groups on a national
level. The sum of the number of households, index, and
Geographic ID are also included in this report.
Comprehensive report
This report shows the totals of each demographic variable in the
study area. The variables are grouped into logical listings. For
example, the grouping Population by age is composed of four-
year increments from age 0 to 85 and over. Both current-year
totals and five-year projections are shown for more than 600
variables in this report.
Comprehensive Trend report
This report lists the most common demographic variables for the
study area and compares the current-year totals and five-year
projections. For example, in the Population grouping, the
estimated sum of the population for the current year is compared
to the projected sum of the population in the study area for the
five-year projection.
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3/16/2007, 10:36 AM
 Custom report
This report allows you to define which variables are relevant to a
study area. Any number of variables can be selected from the
complete list of demographic attributes and only those selected
will be included in the report. Selecting all variables will produce
the same result as the Comprehensive report.
Custom Trend report
The Custom Trend report allows you to define which variables
are relevant to a study area. Any number of variables can be
selected from the complete list of demographic attributes and
only those selected will be included in the report. This report lists
the selected demographic variables and compares the current-
year estimate totals to the five-year projected totals. Selecting all
variables will produce the same result as the Comprehensive
Trend report.
General report
This report groups the basic demographic variables into a one-
page list. The listed variables in each group are represented as
percentages of the total for that group. The list is composed of
two major groups: Population and Household totals. The
Population group is subdivided into age and race; the Household
group contains household income information.
Population report
This report lists the sum of the current year and five-year
projections of total population. It also includes a projected
growth rate percentage between the current-year totals and
five-year projections.
366
appendix.pmd 366
Income report
This report displays the total annual household income as a
percentage of the study area. These values are grouped into
$15,000; $20,000; $25,000; and $50,000 increments. This report
also contains the total number of households and the average
income in the study area.
Age report
This report displays incremental age groups as a percentage of
the total population in the study area. These values are grouped
into common increments such as 0–4, 5–14, 55–64, and 65 and
over. This report also contains the total population and the
average age for the study area.
Race report
This report classifies the total population as a percentage based
on race. The groups are White, Black, Asian/Pacific, Native
American, Some Other Race, Two or More Races, and Hispanic
Origin. The current-year total population is also included in this
report.
Household report
This report classifies by percentage the households that are
either owned or rented in the study area. It also includes the
current-year household total, five-year projection, and the
projected growth rate between the current-year total and five-year
projection.
USING ARCGIS BUSINESS ANALYST
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 Multiarea report
This report displays a current-year snapshot of a general variable
assortment: Households by Income, Population by Age, and
Population by Race for multiple trade areas. This could be for a
three-ring study, drive times, or other trade areas that present
multiple areas around a point. Other reports can also be used for
multiple trade areas.
Age by Sex Profile report
The Age by Sex Profile measures the number of people in a
geographic area according to their age and gender. The report
includes Census 2000 data, current-year estimates, and five-year
forecasts.
Demographic and Income Profile report
This profile compares essential characteristics of the Census 2000
data, current-year estimates, and five-year forecasts such as
income, age, and race.
Market Profile report
The Market Profile report is a comprehensive report that contains
current-year updates; five-year projections; and Census 2000
data for population, households, housing units, income, age,
race, and labor force.
APPENDIX
appendix.pmd 367
Retail Expenditure report
This report includes the total dollar amount spent; average
amount spent per household; and the Spending Potential Index,
which measures the amount spent for a product or service in one
area compared to the U.S. average. This report also contains
totals for Census 2000 data; current-year estimates; and five-year
projections for population, households, and average household
size.
Average Drive Time report
This report is used to determine the average drive time for any
trade area that has previously been created. If you do not select
the store point within the trade area, the geographic centroid will
be calculated to perform the analysis.
Summarize Points report
The Summarize Points report allows you to select all points or
businesses within a given area, then summarize values within
their database such as total employees, number of transactions,
or sales figures.
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 Use of Projects in ArcGIS Business Analyst
What are Projects in ArcGIS Business Analyst?
Projects are a new way of organizing your work in
ArcGIS Business Analyst that make it much easier for you to
manage, back up, and share your analysis results.
How do I create and manage a Project?
As part of the Business Analyst Study Area Wizard, there is an
option to Create a new Project for this study area. It is located on
the same panel of the wizard where you name your study area. By
default, the option to create a new Project for the given study
area will not be selected. Also, you can create and manage your
Projects using the Active Project command on the Business
Analyst drop-down menu. Most users who want to use Projects
to organize their work will create Projects when they use the
Study Area Wizard, but Projects can also be created by clicking
Active Project, then clicking Create Project. The Project Explorer
window adds extra functionality to group projects outside of the
ArcGIS table of contents where you can export, copy, move, and
backup multiple Projects.
When and why should I create a Project?
You should create a Project generally when you plan on saving
your work and need to be able to retrieve data easily and quickly
or if you need the ability to share your Project with another
Business Analyst user. Projects are used as an organizational tool
in the same way as map documents, except Projects govern where
you save your analysis results. More specifically, if you use
Projects, all your layers and analyses that are created while a
Project is active (store layers, customer layers, study areas, trade
areas, analyses, reports, and so on) will be stored in a folder with
that project’s name on your hard drive under the My Output Data
folder.
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appendix.pmd 368
If I do not create a Project for a study area, where will my
analysis results be stored?
Along with all your projects in your My Output Data folder, there
is a project named Default Project. This is where your work will be
saved if you do not want to save it in a Project. On the Business
Analysis drop-down menu, there is an Active Project command
that allows you to choose which project will be active from that
point until it is changed. Even if there have not been any projects
created, there will be one named <default project>.
Note: Business Analyst remembers the last Project that was
active. If another saved .mxd file is opened that was previously
used with another active Project, you will need to change the
active Project if you want to return to the old Project.
How do I manage my Projects?
You can manage your Projects by clicking Active Project on the
Business Analyst drop-down menu and clicking Manage
Projects. There you can activate, delete, or rename a Project and
edit its comments. Furthermore you can use the Project Explorer
to manage all Projects without having to access the standard
ArcGIS table of contents. This is especially helpful when working
with multiple Projects or transferring layers from one Project to
the next.
Is it easy to share my Projects?
Yes. Each Project folder in the My Output Data folder contains
everything that was created in Business Analyst for that
respective Project. If you receive a Project folder from a fellow
user, you would place it in your My Output Data folder and once
you launch Business Analyst, you could activate that Project and
begin loading any analysis, study areas, customer/store layers,
trade areas, and so on, by clicking the Manage option—for
example, Manage Existing Analyses—on any wizard. You can
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 also share your Projects using the context-sensitive menus in
ArcCatalog. To do so, right-click the Project you want to share
and select Export/Backup Project, then save to a location. This
will create a .zip file of all associated layers within the Project. The
zipped file can now be shared with any other user with Business
Analyst. Simply open ArcCatalog, right-click on Business
Analyst Data, and select Import Project. Navigate to the zipped
Project you want to load.
I have accidentally deleted a saved map document. Can I retrieve
the Projects that were contained in it?
Yes. Open the Business Analyst .mxd and select the Project you
want to view in the Project Explorer. Click Update Map to load all
of the associated layers into the ArcGIS table of contents. You
can also click Active Projects from the Business Analyst drop-
down menu, then click the Project that was being used in the
previously deleted .mxd. Then you can load all the data created
by Business Analyst by clicking Manage on each respective
wizard.
Can I see my Projects in ArcCatalog?
Yes. You can also manage Projects in ArcCatalog, which looks
and functions similar to Windows Explorer because it uses a
catalog tree. Your Project can be managed in a number of ways,
such as moving/copying/deleting/viewing it in its entirety or only
specific layers within it. For example, a drive-time polygon can be
copied from one Project to another.
Why are my Projects displayed in ArcCatalog?
Because Business Analyst Projects are in ArcCatalog, it is easy to
use the Business Analyst data layers (customers, stores, trade
areas, and so on) in ArcToolbox. For example, if you had already
created a store layer in a Project, you could drag and drop it into
the Drive Time tool in ArcToolbox. They can also be dragged
from ArcCatalog onto a map.
APPENDIX
appendix.pmd 369
Do I have to create a Project?
No. If you navigate to Active Project, you will see
<default project>; this is where you can store anything that does
not require a specific Project.
When I import study areas from ArcGIS 8.3c/9 Business
Analyst, will a new Project folder be created?
Yes. The process of importing your work from ArcGIS 8.3c/9
Business Analyst will create ArcGIS Business Analyst Projects
for each of the study areas that you set up in ArcGIS 8.3c/9
Business Analyst.
Can I access data of more than one Project at a time in a single
map document?
Yes. Changing the active Project will allow you to add data from
that Project, and that data will stay in your table of contents even
if you switch to a different Project. Any new layers created by
Business Analyst will be placed in the currently active Project.
When working in ArcMap you can select Update Map in the
Project Explorer to add all layers for each Project to the table of
the contents.
What happens to the My Output Data folder when I install
ArcGIS Business Analyst?
The installation of ArcGIS Business Analyst creates a backup of
the My Output Data folder. Each time you run a new installation,
an annual data update, or rerun an existing installation of version
9.2 or newer, Business Analyst will create a My Output
Data_backup folder. For example, if you reinstall three times, you
will see a My Output Data_backup, My Output Data_backup1,
My Output Data_backup2. Business Analyst will then save your
new analyses to the newly created My Output Data folder. You
can also copy any of the backed up files into your My Output
Data folder.
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appendix.pmd 370 3/16/2007, 10:36 AM
 12
active data frame
Glossary The data frame with which you’re currently working, if your map contains more than one data
frame. The active data frame is highlighted on the map, and its name is shown in bold text in the
table of contents.

amoeba
An approach for forming a ring boundary by joining extreme points using elliptical arcs. They are
often called amoebas because of their shape.

attractiveness
One number that combines all the factors that make a center attractive. For example, the
attractiveness of an office building could be a function of how many offices are currently located
within it.

attribute
A piece of information describing a map feature. The attributes of a ZIP Code, for example, might
include its area, population, and average per-capita income.

block group
A combination of census blocks that is a subdivision of a census tract. A block group is the
smallest unit for which the Census Bureau reports a full range of demographic statistics (about
700 residents per block group). See also tract.

buffer
A zone around a map feature measured in units of distance or time—for example, a store’s 15-minute
drive-time buffer defines the area in which drivers can reach the store in 15 minutes or less.

classification
A scheme for dividing map features into a specified number of classes according to selected
attribute values. Sales territories, for example, might be divided into five classes according to the
number of accounts they contain. Each class is then assigned a unique symbol to create a thematic
map.

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 complex market area
An area calculated by finding the outermost customers of a store
and connecting them. Complex market areas are more accurate
than simple because they respond to physical and cultural
barriers.
Core Based Statistical Area (CBSA)
An urbanized area as defined by the U.S. Office of Management
and Budget, consisting of a core area containing a large
population nucleus, together with adjacent communities having a
high degree of economic and social integration with that core.
Normally, a CBSA includes at least one city of 50,000 or more
inhabitants or an urbanized area of at least 50,000 inhabitants with
a total metropolitan population of at least 100,000.
customer market analysis
A type of analysis that uses mostly customer data. Simple and
Complex Desire Lines, Market Penetration, and New Store are
examples of customer market analysis.
customer profiling
A process that establishes a demographic profile for a set of
customers by tagging them with demographic values of the
geographic area they fall within.
customer prospecting
A type of analysis that locates regions with ideal demographic
characteristics for targeting new customers.
data-driven ring analysis
A store market analysis that is primarily used to look at your
competition. You can also use it to analyze potential new
locations.
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Glossary.pmd 372
data frame
Groups the layers that you want to display together into a
separate frame. Layers in the table of contents can be organized
into data frames.
dBASE file
A file format native to dBASE database management software.
Business Analyst can geocode address files in dBASE format.
decimal degrees
Degrees of latitude and longitude expressed as a decimal rather
than in degrees, minutes, and seconds.
defined study area
A study area with a defined boundary, for example, a city.
demographics
The statistical characteristics of a population—for example,
income, education, race, and home ownership.
desire lines
A type of analysis that associates a set of geocoded points
(usually customers) with a single central point (usually a store).
Lines are drawn from the customers to the store. Desire lines can
be weighted or unweighted. See also spider diagrams.
Designated Market Area (DMA)
A Designated Market Area is a television and radio market
defined by Nielsen Media Research. The population within each
of these regions receive similar media content.
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 donut rings
A method of defining the rings in an analysis so that the values
inside the rings are exclusive. For example, if you had an analysis
with three donut rings and 10 households in each, the total
number of households for each ring would be 10.
dot density map
A map in which dots are used to represent the density of an
attribute—for instance, population.
drive-time area
A zone around a map feature measured in units of time. For
example, a store’s 10-minute drive-time area defines the area in
which drivers can reach the store in 10 minutes or less.
equal competition area
A type of analysis that creates trade area boundaries halfway
between each store and its neighboring stores. See also Thiessen
polygon.
equal interval classification method
A classification method in which each class has an equal range of
values. Use this if your data is evenly distributed and you want
to emphasize the difference in values between the features.
extension
An optional ArcGIS module that performs a specialized function.
Network Analyst, Spatial Analyst, and Business Analyst are a few
of the many ArcGIS software extensions.
feature
A map representation of a geographic object. Store sites,
customer locations, streets, census tracts, and ZIP Codes are
examples of map features. Features are drawn as points, lines, and
areas (polygons) in ArcGIS.
GLOSSARY
Glossary.pmd 373
field
A column in a table, containing the values for a single attribute.
Find Route wizard
A wizard in Business Analyst that allows you to find the shortest
way to get somewhere or the shortest way to visit several
locations, determine the best sequence to visit a set of stops,
make a map showing the shortest travel route, and create a list of
travel directions to use when driving a route.
find similar analysis
An analysis that allows you to seek out and analyze new market
areas based on the characteristics for an existing market area.
geocoding
The process of converting tabular location data, for instance, a
database of customer addresses, into accurately placed features
in a map file.
geographic information system (GIS)
A configuration of computer hardware and software that stores,
displays, and analyzes geographic data.
global positioning system (GPS)
A radio-navigation technology that uses satellite signals to
calculate the position of objects on the earth’s surface, along with
their speed and direction.
graduated color map
A map that has a series of symbols whose colors change
according to the values of a particular attribute.
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 graduated symbol map map
A map that has a series of symbols whose size changes according Interactive area that allows you to display, explore, query, and
to the values of a particular attribute. analyze geographic data in ArcGIS.

group layer map document

Several layers that appear and act as a single layer in the table of An ArcGIS file that contains all the maps, tables, charts, layouts,
contents in ArcMap. and reports that you use for a particular application or set of
related applications. Map document files have a .mxd extension.
Huff model
A sales forecasting tool based on the idea that the probability of market area
a given consumer visiting and purchasing at a given site is some A geographic zone containing the people who are likely to
function of the distance to that site, the site’s attractiveness, and purchase a firm’s goods or services. Market areas can be
the distance and attractiveness of competing sites. See also determined by the number of customers and by weighted value
attractiveness. (any numerical information in the customer database, such as
sales or visits). Business Analyst allows you to create one, two,
image data or three rings around your store, known as primary, secondary, or
Data in raster format, produced by an optical or electronic device. tertiary markets.
Satellite data, scanned data, and photographs are common forms
of image data. market penetration
A type of analysis that determines the percentage of a market area
image file being reached based on the number of customers within an area
In a GIS, a file of image data. compared to the total population. Market penetration takes the
number of customers in each area and divides it by the total
index of attractiveness number of people in each area to give you an idea of how well
you’re penetrating your market.
The one number describing the factors that make something
attractive to customers. See also attractiveness.
master site
layer A known, well-performing site.
A set of features of the same type stored together in a single file
mean store center analysis
in ArcGIS.
A type of analysis that locates a new store by calculating the
layout centroid of a group of customers.
In ArcGIS, a presentation document incorporating maps, charts,
tables, text, and images.

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 My Output Data folder
A folder on your computer that contains all the work done in
Business Analyst (study areas, analyses, data—customer, store,
extracted). The default location is C:/My Output Data, but you
can change it on the Business Analyst Preferences dialog box.
natural breaks classification method
A classification method in which data values that cluster are
placed into a single class. Use this method if your data is
unevenly distributed.
normalization
The process of dividing one numeric attribute value by another to
minimize differences in values based on the size of areas or the
number of features in each area.
overlapping rings
A method of defining the rings in an analysis so that the values
inside the rings are cumulative. For example, if you had an
analysis with three overlapping rings and 10 households in each,
the total number of households for ring 1 would be 10, the total
for ring 2 would be 20 (ring 1 + ring 2), and the total for ring 3
would be 30 (ring 1 + ring 2 + ring 3).
quantile classification method
A classification method in which each class has roughly the same
number of features. Use this method if your data is evenly
distributed and you want to emphasize the difference in relative
position between features.
raster format
In a GIS, a cell-based representation of map features. Each cell in
the structure has a value; a group of cells with the same value
represents a feature. Images are stored in raster format.
GLOSSARY
Glossary.pmd 375
record
A row in an ArcView table. If the table is a layer table, each record
corresponds to a map feature.
ring studies
The most simple and widely used type of market area analysis. A
simple ring is generated, then the underlying demographics are
extracted. Generally, simple ring studies generate a rough
visualization of the market areas around points.
route
In a GIS, a path through a network. (In ArcGIS, a network is an
interconnected set of lines representing possible paths from one
location to another. A city streets layer is an example of a
network.)
shapefile
A file that contains the geographic location of your customers or
stores and the attributes behind them. Shapefiles have a .shp
extension.
simple market area
An area defined by generalized boundaries drawn around outer
customer points.
site prospecting
You can prospect for sites by inputting coordinates, inputting an
address, selecting a point on the map, or using a selected point.
You can then conduct an analysis of the site you are prospecting.
spatial overlay analysis
A type of analysis that allows you to extract data from one
layer—such as block groups—to an overlay layer—such as a
trade area.
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 Spatial Overlay wizard
A wizard in Business Analyst that walks you through the steps
necessary to extract underlying data to your overlay layer.
spider diagrams
Another name for desire lines. See desire lines.
standard deviation classification method
A classification method in which class breaks are placed above
and below the mean value at intervals of 1, 0.5, or 0.25 standard
deviations until all the data values are included in a class.
standard industrial classification (SIC) codes
The federal classification system that is the national standard
used to classify, sort, and categorize every industry. It is also
used as an identifying system in business directories,
publications, and statistical sources.
store prospecting
A type of analysis that assesses the potential of a site by
performing simple ring or drive-time analysis.
study area
The geographic area in which analysis takes place.
table
A data structure that stores attributes in rows and columns. Also
called an attribute table.
tabular data
Data in the form of a .dbf file, a comma- or tab-delimited .txt file, or
a relational database management system (RDBMS). In Business
Analyst, you can add both customers and stores as tabular data
to your map.
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Glossary.pmd 376
thematic map
A map that symbolizes features according to a particular attribute.
Examples are a map displaying businesses as dots of different
sizes according to number of employees or a map displaying
census tracts in different colors according to median household
income.
Thiessen polygon
A type of analysis that creates trade area boundaries halfway
between each store and its neighboring stores. See also equal
competition area.
threshold ring analysis
A type of analysis that allows you to create rings around your
stores with a given data value inside. This analysis uses data at
the block level.
tract
A small, relatively permanent statistical subdivision of a county.
Census tract boundaries normally follow visible features but may
follow governmental unit boundaries or other nonvisible features.
A census tract may contain between 2,500 and 8,000 people.
virtual study area
The current extent of your map document. The virtual study area
never has a boundary.
wizard
In a software program, a series of panels that guides you through
a task or set of tasks.
ZIP+4
An enhanced ZIP Code that consists of the five-digit ZIP Codes
and four additional digits that identify a specific range of delivery
addresses.
USING ARCGIS BUSINESS ANALYST
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 zone improvement plan code (ZIP Code)
A system of five-digit codes that identifies the individual post
office or metropolitan area delivery station associated with an
address.

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Glossary.pmd 378 3/16/2007, 10:38 AM
 12
A Business Analyst (continued)
Index Active data frame 11
substituting other terms for customers and
stores 121
defined 371 virtual study areas 63
Amoebas Business Analyst Importer
defined 371 Business Analyst 8 Importer 360
Analysis 2 import study areas 359
Analysis layer setup 112 Business Analyst menu 6, 45
ArcGIS Business Analyst 1 Crosswalk from previous ArcGIS versions 7
ArcGIS Desktop Help 15 tips 8
Area 2 Business Analyst Preferences
Attractiveness address locator 353
defined 371 automatic Spatial Reference 355
described 208 Fill Trade Area rings 354
Attribute 11 geocoder 353
Attributes Geoprocessing Options 354
defined 371 Maket Penetration Options 354
My Output Data folder 352
B Segmentation Geographic Profile Method 356
Spatial Reference 355
Block group Speed Limits options 357
defined 371 substituting other terms for customers and
Buffer stores 352
defined 371 Trade Area Output Style 354
Business Analyst 1, 173 transparency 354
add-on datapack 118 Business Analyst Toolbar
Business Analyst.mxd 58 Site Prospecting tool 296
by ZIP 64 Business Analyst toolbar 19, 46
Cusomer Setup Wizard 120 drive time 48
defined study areas 63 Dynamic Ring Analysis 52
Dissolve by Attribute tool 143 Identify Business tool 55
Fields Visibility tab 119 Simple Ring 47
GlobeXplorer's standard imagery service 3 Site Prospecting tool 21, 47
Preferences dialog box 121 Threshold Ring 48
preferences dialog box 351 Business listings 116
projects 368
setting field visibility 119
site prospecting 276
spatial overlay 267
Store Setup wizard 120

379

Index.pmd 379 3/16/2007, 10:42 AM

 C Demographics Find Route wizard
defined 372 defined 373
Calculating statistics 148, 152 Desire lines 190 Find Similar analysis
Classification defined 372 defined 373
defined 371 described 190 Finding a route
Complex market areas. See Market areas: Donut rings create stops 316
complex defined 373 directions 313
Contacting ESRI 15 Dot density map Find Route wizard 313
Context Sensitive Help 15 defined 373 finding the best route 316
Customer market analysis Drive-time area route 313
defined 372 defined 373
Customer profile Drive-time areas 153
creating new 147–149, 150–152 G
Customer profiling 184 Geocoding
defined 372 E
defined 373
described 184 Enter customer or store addresses Geographic information system (GIS)
Customer prospecting 183 manually 107 defined 373
defined 372 Equal Area classification method Geoprocessing Tools Help 15
described 143 described 235 Getting help using Business Analyst 15
find similar 194 Equal competition areas GIS (geographic information system)
master site 194 defined 373 defined 373
Principal Component Analysis 194 described 160 Global positioning system (GPS)
scored sites 195 Equal Interval classification method defined 373
with demographic data 153–156 described 235 GPS 109
with household data 160–162, 163 Equal interval classification method defined 373
defined 373 Graduated color map
D ESRI education solutions 15 defined 373
Extension described 236
Data 2 defined 373 Graduated symbol map
Data frames 11 defined 374
defined 372 described 239
Data-driven ring analysis F
Gravity Model
defined 372 Features 9 defined 374
described 150 defined 373 Group layer 11
dBASE file Field defined 374
defined 372 defined 373
Decimal degrees Field descriptions 113
defined 372 H
aggregation method 113
Defined study areas. See also Study areas apportionment method 113 Help 15
defined 372 weight 113 Huff model 208
advanced Huff model 215

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 Huff model (continued) Map Document 2 MSA
calibration 220 Map documents defined 372
model calibration 220 creating a study area 67 My Output Data folder 2, 58, 62, 364
original Huff model 210 defined 374 creating on another drive 61, 62
survey data 220 described 58 defined 375
Hull type 127 from a map 67
Amoeba 127 Jump to Location 63
N
Detailed 127 saving work 58
Detailed With Smoothing 127 Set Analysis Extent 63 Natural Breaks classification method
Simple (Convex) 127 Maps defined 375
adding customers or stores 100 described 235
adding data 90 New store analysis
I
data view 19 defined 374
Identify Business tool 116 defined 374 Nonoverlapping rings 147
Image data. See also Raster format geocoding data 90 Normalization
defined 374 graduated color map 252 defined 375
Image file graduated symbol maps 245 described 238, 241, 246
defined 374 layout view 19
Index of attractiveness thematic analysis 231
Market analysis 1 O
defined 374
described 208 Market areas Overlapping rings
complex
defined 375
defined 372
L creating
based on a numeric attribute 150 P
Layer 9, 10
creating around stores 172
Layers Potential sites 197
defined 374
creating empty layer 104 Projects 59
Market penetration 129
defined 374 Active Projects tool 59
customer count 130
managing existing customer or store creating a new project 59
defined 374
layers 120 manage projects 60
market counts 131
opening 120
Master site
Layout
defined 374
defined 374 Q
Metropolitan Statistical Area
defined 372 Quantile classification method
M Modeling 207 defined 375
dissolve by Attribute function 225 described 235
Manage existing trade areas 181 managing existing modeling analyses 228
Managing existing analyses 206 managing model calibration parameters 229
Map 10 wizard 225
Map appearance 11
using table of contents 11

INDEX 381

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 R Simple market areas. See Market areas: simple Study areas
Site prospecting adding customers as tabular data 91–94
Raster format defined 375 adding customers from tabular data 91
defined 375 using the Business Analyst menu 52 adding customers or stores as a
Record using the Site Prospecting tool context shapefile 100–101
defined 375 menu 50, 51 adding stores as tabular data 96–97
Report templates 365 Site Prospecting tool context menu 50 adding stores from tabular data 96
Reports ArcMap Find tool 51 by currently selected shapes 80
custom Find point by address 50 choosing from a list 69
creating 191 Input coordinates 50 clipping data 73
standard Use selected point 50 creating
creating 185 Site Prospecting toolbar by ZIP Code 64–65
Reports and batch tasks drive time 279 from a map 67
batch tasks 349 Input coordinates 281 creating of the United States 71
create custom report templates 346 select point on the map 286 defined 63, 376
Crystal Reports 323 simple ring 278 deleting 87
custom reporting tool 346, 348 Threshold Ring 280 described 57
Geographic Customer Summary use selected point 291 drawing shapes on 74
report 338, 340, 342, 344 Spatial overlay Manage Existing Study Areas 85
Locator report 329 described 201 opening 85
manage existing reports 345 Spatial Overlay analysis customer or store layers 120
Market Ranking report 332 defined 375 removing from the visible legend 85, 87,
Reports 323 Spatial Overlay wizard 181, 206, 228, 326, 345
reports for mutliple areas 327 defined 376 renaming 86
running and managing batch tasks 349 described 203 selecting shapes from 78–80
running reports for single areas 324 Spider diagrams using currently selected shape 74
Wind Rose report 335 defined 376 virtual 63
Ring studies described 190 defined 376
defined 375 Standard Deviation classification method Substituting terms 121
Route defined 376
defined 375 described 235
T
Standard industrial classification codes
S defined 376 Table
Store prospecting defined 376
Shapefile defined 376 Tabular data
defined 375 Study Area 2 defined 376
described 100 Study area boundary 18 described 89
SIC codes Tapestry 365
defined 376 Community Tapestry segmentation
Simple market area system 365
defined 375 report descriptions 365

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 Terminology 13 Trade areas X
Terms geography level-based trade areas 143
substituting 121 grid areas 166 X,Y coordinates 109
Thematic map Huff equal probability 163
defined 376 measure cannibalization 176 Z
Thematic Mapping wizard 248 monitor trade areas 175
Thematic Mapping wizard 232 ring studies 144 ZIP Code (zone improvement plan code)
Theme 9 simple rings 144 defined 377
Thiessen polygon standard levels of geography 170 ZIP+4
defined 376 Sub-geography 172 defined 376
Thiessen polygons. See also Equal competition threshold ring 157 Zone improvement plan code (ZIP Code)
areas track trade area change 178 defined 377
described 160 Tutorial 17
Threshold ring analysis Tutorial data 24, 29
defined 376
Tools 257
W
geocoding options 277
create grids 261 Wizard
dissolve by attribute 264 defined 376
find similar 270 Working with maps 231
Find Similar tool 270 classification methods 235
grid cells 261 displaying areas as different colors 252
Huff Model tools 264 displaying charts in areas 248
Huff models 265 displaying lines as different colors 242
Market Ranking report 273 displaying lines as different thicknesses 245
remove trade area overlap 258 displaying points as charts 232
Site Prospecting tool 276 displaying points as different colors 236
Spatial Overlay tool 267 displaying points as different sizes 239
Tract dot density 254
defined 376 dot density map 254
Trade area previewing your results 241, 244, 246,
customer count 134 249, 253, 255
customer-derived areas 124 setting dot density in areas 254
distance decay areas 138 using charts 232, 248
market counts 136
penetration 133
threshold rings 307

INDEX 383

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Index.pmd 384 3/16/2007, 10:42 AM